PEPE’s Market Potential

• PEPE showed a bullish signal but remained in a downtrend, facing key resistance.
• Declining active addresses and transaction volumes hindered PEPE’s potential rebound.

Pepe (PEPE) recently displayed a buy signal on the weekly chart, indicated by the TD Sequential indicator. This suggests a potential reversal; however, PEPE has been in a downtrend for an extended period.

As of the latest data, PEPE was trading at $0.00009926, marking a 3.90% increase over the past 24 hours. The question remains whether this bullish signal can reverse the current downtrend and initiate a sustained rally.

Can PEPE Break Through Key Resistance Levels?

The price action indicates PEPE was testing key levels but still confronted significant resistance. Currently, PEPE was consolidating around $0.000099, with resistance zones at $0.0001395 and $0.0002108. The TD Sequential indicator’s buy signal suggests a potential reversal, but PEPE’s ability to breach these resistance levels will dictate future movements. A failure to push higher may result in an ongoing downtrend.

Furthermore, the Relative Strength Index (RSI) reading of 35.56 suggests PEPE is approaching oversold territory, adding uncertainty to any potential rebound.

Insights on Declining Daily Active Addresses

Despite the buy signal, there is a worrying decline in daily active addresses. As of February 13th, PEPE registered only 976 active addresses, a marked decrease from prior months.

This decline hints at a decrease in retail investor interest, further obstructing any recovery efforts. A failure to rekindle user interest could diminish the chances of a sustained rally, emphasizing the need to address the decline in activity to prevent price pressure.

Are Transaction Volumes Signaling Weakness?

Transaction counts are also on the downswing. On February 13th, PEPE recorded merely 782 transactions, a sharp decline from its peak volumes. This reduction signals lower engagement from market participants, constraining short-term growth prospects.

Absent an upsurge in transaction volume, PEPE may continue its downward trajectory. Conversely, if interest is revived, the transaction count could increase, bolstering prospects for an upward shift.

Perspectives from Large Holders

Large holders are displaying uncertainty regarding PEPE’s trajectory. Token flows from these investors have fluctuated significantly, indicating a lack of decisive action among major players. The 7-day change for large holders shows a significant decline of -35.93%, while the 30-day change reflects an increase of +67.75%. However, the 90-day change illustrates a substantial drop of -57.86%, suggesting a cautious long-term perspective.

This hesitance from major stakeholders could impede PEPE’s ability to sustain any bullish momentum, potentially contributing to the ongoing downtrend.

In conclusion, despite the bullish TD Sequential signal, PEPE persists in a downtrend marked by decreasing active addresses and transaction volumes. The RSI reading indicates nearing oversold conditions, while major holders remain cautious. Currently, the market outlook is uncertain, and the next few days will be pivotal in determining if PEPE can reverse its downtrend.