An analyst underlined how a price movement of 78% could arrive for Pepe on the basis of a technical analysis model (TA) in his daily graph.
Pepe is approaching the end of a symmetrical triangle
In a new post on X, analyst Ali Martinez shared a model TA forming in the price of a Pepe Day. The model in question is a “symmetrical triangle”, which forms when an asset observes the consolidation between two lines of trend approaching the other for a slope almost equal and opposite.
The upper line of the pattern acts as a resistance barrier, while the lowest provides support. Together, they make sure that the price remains stuck in the channel between them, and as the trend lines involved here are of the convergent type, the range of the assets shrinking while it moves inside the triangle.
An escape from one or the other of these limits may imply a continuation of the trend in this direction. In other words, a rupture above the triangle can be a bull sign, while a decline under it a bearish.
Now here is the graph shared by Martinez which shows the symmetrical triangle that the PEPE price for a day is currently negotiated:
As it is visible in the graph above, Pepe has been stuck inside this channel since December of last year, but its price is now not far from the Apex. Generally, eruptions are more likely to occur, the closer the scope of an asset is, as it means that tests occur more frequently.
With the same standing inside the narrow tip of the triangle now, its range is quite small, so an escape could be likely to occur in the near future. Symmetrical triangles are generally considered to have an equal bias in both directions, therefore a possible escape could occur in both directions for the active.
The eruptions of the triangle are generally of the same length as the base of the triangle (that is to say the distance between the trend lines to their widest). On this basis, the analyst believes that the same could prepare for a movement of 78%.
It now remains to be seen how the price of cryptocurrency will develop in the near future and on which side of the symmetrical triangle that an escape would take place.
The symmetrical triangle is only one type of triangles that exist in TA. Another popular variant is the ascending triangle, which forms when the higher trend line is parallel to the time axis. As Martinez pointed out in another post X, Solana saw an escape above such a triangle on the daily time.
“Solana $ soil can retest the $ 210 escape area before pushing for the goal of $ 320!” explains the analyst.
PEPE PRICE
At the time of writing the editorial staff, Pepe is negotiated approximately 0.00001137, up more than 9% compared to last week.
