PEPE Preparing For A 54% Move? Analyst Thinks So
April 12 2024 - 7:00PM
NEWSBTC
An analyst has explained how a PEPE daily close outside of a
certain price range could lead its value to go on a rally of 54%.
PEPE Symmetrical Triangle May Hint At The Next Move For The
Memecoin In a new post on X, analyst Ali discussed the recent trend
forming in the PEPE price. According to the analyst, the memecoin
is currently forming a symmetrical triangle pattern on its one-day
chart. The “symmetrical triangle” here refers to a pattern in
technical analysis (TA) that, as its name suggests, looks like a
triangle. In this pattern, there are two lines of interest between
which the asset’s price consolidates for a period. Related Reading:
Bitcoin Back Above $70,000 Despite Negative Taker Volume The upper
line connects successive tops, while the lower one joins together
bottoms. The main feature of the pattern is that these two lines
approach each other at a roughly equal and opposite slope (hence
the “symmetrical” in the name). There are other triangle patterns
in TA, but those have either differently angled lines (as is the
case with wedges) or one line parallel to the time-axis (ascending
and descending triangles). Like other TA patterns that represent a
consolidation phase, the lines of the symmetrical triangle also
serve as a point of potential reversal for the price. The upper
line usually offers resistance (meaning tops can occur), while the
lower line may provide support (bottom formation). When a break
takes place from either of these lines, the price may likely see
sustained momentum in that direction. This implies that a break
above the triangle could be a bullish signal, while one below may
be bearish. The symmetrical triangle may be viewed as a phase of
the market in which the bulls and bears are at a standstill, hence
why the price is ranging sideways. During a break, one of these
wins out, and price action follows in that direction. Naturally, as
the lines converge towards a center point in this pattern, a
breakout becomes increasingly probable the closer to the apex of
the triangle the asset’s price gets. Now, here is the chart shared
by Ali that highlights the symmetrical triangle pattern that PEPE
has been trading inside recently: Looks like the asset's price is
getting closer to the converging point of the pattern | Source:
@ali_charts on X As is visible in the graph, the 1-day price of
PEPE has been approaching the triangle’s apex recently, implying
that a break in a direction may be coming for the memecoin. Related
Reading: Dogecoin Usurped: These Memecoins Overtake DOGE In Active
Trader Count “Watch out for a daily close outside of the
$0.00000793 – $0.00000664 range, which could lead to a 54% move for
PEPE,” explains the analyst. Given the pattern that has been
forming, it now remains to be seen how the asset’s price will play
out from here. PEPE Price At the time of writing, PEPE is trading
around $0.000006868072, up 3% over the past week. The price of the
memecoin appears to have gone down recently | Source: PEPEUSD on
TradingView Featured image from Shutterstock.com, charts from
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