Pepe meets resistance, but this rejection could mark the start of an increased continuation configuration. Merchants look at a higher potential low potential that can prepare the ground for a high increase in the increase.
Pepe Price Action (PEPE) is currently faced with a local resistance area, which is not necessarily a downward nature but could act as a springboard for optimistic continuation. The region tested aligns with the retracement of Fibonacci 0.618 and the high value area of the local range, making it a solid candidate for healthy rejection. Rather than expecting a clear reversal, this scenario indicates a potential retirement which would form a low classic bullish continuation index if it was confirmed by follow -up.
Key points
- The PEPE tests a local resistance area around the FIB zone and value of 0.618.
- A rejection could lead to a low swing liquidity scan near the checkpoint.
- The upward structure remains intact if a higher low form and the price resumes support.
If this rejection takes place, the price action should turn down to the control point region, which also aligns with the level of VWAP support, creating a solid technical confluence. Liquidity has been built under the current beach since last Wednesday, and a scanning of this liquidity would comply with a Swing Models (SFP). If the price removes this low swing but closes quickly above, this would confirm a lower structure on the local time – a strong bullish signal which opens the scene for a rally to the recent swing.
Such a decision could lead to the increase of 35%, provided that wider market conditions remain favorable. It should be noted that this model is strongly based on a macro support environment, in particular strength in majors like Bitcoin and Ethereum. If these assets continue from upward trend, Pepe is likely to follow with a bull reaction of support. However, if this control point does not hold and the VWAP support is breaking down, the scenario moves to levels lower than new tested, possibly invalidating the higher thesis.
For the moment, the market dynamics are still leaning towards the upward continuation. The price structure remains intact and the reaction around this technical region will be essential. The presence of confluence – including 0.618 Fibonacci, the low value area and the control point – in fact a solid candidate for a base before the next leg. If this configuration fails, it simply confirms another lower and the probability of a lower hollow. But the current structure and the liquidity profile suggest that a rebound is more likely.
What to expect in the action of upcoming prices
As long as Pepe finds a support around the control point and the VWAP confluence, the structure promotes the formation of a lower lower. If confirmed, traders can anticipate a return to high swing, offering a potential of 35%. However, not holding this region will return to the lower bias and will open the door to more drop.
