The price of Pepe (PEPE) is facing a key test after a sharp market correction pushed it down to $0.00000822. Recent liquidity sweeps below $0.00000800 suggest potential support, but the memecoin remains under bearish pressure following multiple Breaks of Structure (BOS) below $0.00000900.
Liquidity Sweep Hints at Potential Rebound
The liquidity sweep below $0.00000800 may act as a trigger for a short-term price recovery. A previous dip led to a brief upside rally, raising speculation that PEPE could attempt a rebound if it manages to reclaim $0.000009-$0.00001.
However, for a full bullish reversal, PEPE needs to sustain a position above $0.00001. A failure to do so could signal continued weakness, with the next critical support level near $0.00000700. If this level is breached, PEPE could see extended losses as selling pressure intensifies.
PEPE Liquidations Drop Sharply After Volatile Trading
Despite recent downward momentum, liquidation data suggests that PEPE’s market conditions may be stabilizing.
- Short liquidations on Binance plummeted from $63 million to $7.05 million in two days, reducing sell pressure.
- Long liquidations stood at $11.13 million, reflecting a cautious approach from traders.
The cooling of liquidations indicates that market participants may be waiting for a clearer trend before making significant moves. However, if liquidations spike again, it could lead to another wave of selling pressure and further price declines.
Large Transactions Show Stability Despite Price Drop
While PEPE’s price has declined, the number of large transactions has remained flat. Data shows that 337 large transactions took place, in line with early 2025 levels, suggesting that whales are not yet making aggressive moves.
This steady transaction volume could indicate a consolidation phase rather than an immediate reversal. If large transactions increase, it could either signal strong accumulation, leading to a price recovery, or a surge in sell-offs, further dragging PEPE downward.
What’s Next for PEPE?
With PEPE at a critical juncture, traders are closely watching price movements for signs of the next trend.
- Bullish Case: If PEPE reclaims $0.000009-$0.00001, it could attract fresh buying interest and shift sentiment.
- Bearish Case: A breakdown below $0.00000800 could push PEPE toward $0.00000700, reinforcing the downtrend.
- Market Sentiment: Declining liquidations and flat large transactions suggest caution, with traders awaiting a decisive move.
Conclusion
PEPE remains in a volatile phase, balancing between potential recovery and further losses. If the memecoin holds key support and reclaims higher levels, it could spark renewed interest. However, sustained downward pressure may lead to deeper losses, making the next few days crucial for its price direction.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Cryptocurrency investments carry risks. Always conduct thorough research before investing.
