This selling pressure is also depicted in the In/Out of the Money Map (IOMAP). According to the IOMAP, a large number of addresses purchased PEPE at an average price of $0.0000110. If the price gets to this level, many investors may decide to sell in order to get their initial investment back. This could present a significant zone of resistance, which would prevent PEPE from being able to maintain any upward momentum.
Decline in Network Activity
On-chain analysis also aligns with the bearish sentiment concerning PEPE. According to the Santiment’s Daily Active Addresses index, which reflects the network activity, it has been decreasing. The Daily Active Addresses have dropped by 24% in the last seven days, which is a trend that began at the end of May.
The decline in network activity suggests that people in the wider crypto community are less active and interested in the given token. This is quite worrying because it shows that there are few new entrants and usage is on the decline—an important aspect for maintaining prices and encouraging a recovery.
Key Support and Resistance Levels
Despite these bearish indicators, PEPE’s price action near critical support and resistance levels offers hope. Currently, is marginally above a pivotal support line at $0.00001020.
This level has proven to be a battleground between bears and bulls, with its sustainability being crucial for PEPE’s short-term trajectory. If this support holds, it might set the stage for PEPE to claw back its recent losses with a target of $0.000013 and $0.000014.
