Investors Hold Steady on PEPE: Meme Coin Aims for Rebound Amid Decreased Selling

PEPE has demonstrated resilience despite ongoing bearish market conditions, maintaining its position above a critical support level. 

Investors have refrained from selling in significant volumes, creating a scenario that could allow the altcoin to recover from its recent price decline. This restrained selling activity is providing a buffer against further losses.

PEPE Investors Pullback On The Selling

Active deposits for PEPE have been declining steadily over the past few weeks and are now nearing a halt. This decline in deposits is a positive signal, indicating reduced selling pressure from holders. Lower active deposits often correlate with decreased intent to liquidate assets, giving the cryptocurrency more room to stabilize and recover.

Given PEPE’s struggle under bearish market conditions, reduced selling activity is a crucial factor in supporting a potential price rebound. As deposits continue to slow, the altcoin is better positioned to consolidate and regain upward momentum in the coming days.

PEPE Active Deposits. Source:  Santiment

PEPE’s macro momentum is influenced by its Network Value to Transactions (NVT) Ratio, which has spiked recently. A rising NVT Ratio reflects increased network activity relative to transaction activity, often triggering corrective price actions. This trend has contributed to PEPE’s struggle to recover amid broader market bearishness.

The elevated NVT Ratio is preventing significant recovery for PEPE by amplifying bearish conditions. However, as this ratio stabilizes and network activity aligns more closely with transaction volume, the meme coin could find the support needed to initiate a rebound.

PEPE NVT Ratio. Source:  IntoTheBlock

PEPE Price Prediction: The Holding Continues

PEPE’s price failed to reclaim the $0.00001785 support level over the last 48 hours, following a 21% correction last week. The altcoin now trades at $0.00001696, with this level acting as a critical support floor. Maintaining this support is essential for a potential recovery.

Despite multiple tests, PEPE has successfully held $0.00001696 as support, reinforcing its significance. If this level remains intact, the altcoin could bounce off and aim for $0.00002062. The halting of selling activity supports this optimistic outlook, creating a foundation for upward momentum.

PEPE Price Analysis. Source:  TradingView

However, if PEPE fails to break above $0.00001785 and flip it into support, its ability to hold $0.00001696 could weaken. A drop below this support floor would invalidate the bullish-neutral outlook, leaving PEPE vulnerable to further decline to $0.00001489 and dampening investor optimism.