Pepe (PEPE) Faces Market Pressure

Pepe (PEPE), the popular memecoin, is under rising pressure as both technical indicators and on-chain data suggest potential further declines. The price has steeply dropped over the past week, with cascading liquidations affecting major wallets, pushing PEPE toward a critical inflection point.

Market Sentiment Turns Bearish

The overall market sentiment has shifted to bearish. If buyers do not step in decisively, the token may encounter deeper losses. Failed support retests and increased selling volume have left PEPE in a precarious state, with many investors closely watching its next moves.

Liquidation Cascade Adds Fuel to the Fire

According to Lookonchain, James Wynn’s PEPE long position in another wallet has experienced significant liquidation losses exceeding $1 million, leaving only $14,850 in the account. This incident contributes to a growing wave of forced sell-offs in PEPE-linked wallets as price support continues to erode. Wynn’s situation highlights the vulnerability of leveraged positions amidst increasing market volatility.

> James Wynn(@JamesWynnReal)’s $PEPE long position has also been hit with a cascade of liquidations, losing over $1M, and now has only $14,850 left.
> — Lookonchain (@lookonchain) August 1, 2025

Technical Signals Turn Cautious

Crypto analyst Ali Martinez noted that PEPE must reclaim the $0.0000118 level to avoid a confirmed bearish breakdown. Currently, the price is trading at $0.00001041, down over 10% in the past 24 hours. If bulls cannot regain control above this level, targets for further declines may extend toward $0.00001080 and even $0.00000970. The chart reveals a consistent pattern of lower highs and lower lows since PEPE peaked near $0.00001450.

> $PEPE needs to reestablish $0.0000118 as support to avoid a possible drop to $0.0000097!
> — Ali (@ali_charts) August 1, 2025

Triangle Consolidation Hints at Imminent Volatility

Token Talk analysts have identified a symmetrical triangle forming on the daily timeframe. The price is coiling within this tightening range, with support currently being tested between $0.0000108 and $0.0000115. This consolidation phase often precedes significant market movements.

A successful defense of this support zone, followed by a breakout above the upper trendline, could trigger a rally toward $0.0000130 to $0.0000145.

However, failing to maintain support may validate the bearish continuation pattern and result in lower prices. The upcoming trading sessions could prove pivotal.

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