- The bullish momentum seemed to be on PEPEs as December’s 10x rally loomed
- PEPE’s rising hashrate also indicated bullish momentum
At the time of writing it is PEPE Coin was trading at $0.00002101, with a 24-hour trading volume of $4.85 billion. This, after the altcoin recorded a small increase on the 24-hour charts its market capitalization to approximately $8.86 billion.
However, PEPE’s latest price action reflected a consolidation phase, forming symmetrical triangle patterns that historically point to the potential for a significant breakout on the charts. Needless to say, Tits technical setup has caught the attention of traders. Especially as it seemed to mirror the token’s February rally PEPE achieved a staggering 10x increase in just 40 days.
In light of increasing momentum and strong market interest, a rally to $0.0009 by December 16 is possible – marking a new milestone for the token.
Source: PEPE/USD, TradingView
The memecoin’s RSI (Relative Strength Index) supported this outlook, indicating that bullish momentum is building. However, the next step will depend on major confirmations of a breakout from the symmetrical triangle formation.
PEPE hashrate increases to 330 TH/s, improving network security
The graph showed a sharp increase in PEPE’s network hashrate, reaching the same 330.81 TH/s. Here, hashrate measures the computing power used by miners to validate transactions and secure the blockchain.
A higher hashrate means high mining activity, greater network security and improved decentralization – all of which increases confidence in the reliability of the blockchain.
Such an increase indicates growing interest from miners, likely due to improved profitability or anticipation of future price increases. For PEPE, the rising hashrate could have a positive impact on the price as it signals a stronger and more secure network.
An increase in mining participation often correlates with bullish sentiment, which attracts both traders and investors. However, it also intensifies mining competition, which can impact profitability.
PEPE’s bullish trend is cooling off
Starting on November 5, PEPE began a steady price increase, gradually gaining bullish momentum as funding rates on major exchanges such as Bitmex, OKX, and Gate became increasingly positive. In fact: upThe trend peaked on November 4 – marking a significant increase, supported by increased trading volume and strong long positions.
During this period, traders showed growing confidence, with positive funding rates highlighting the willingness to pay premiums for holding bullish positions.
Source: Coinglass
After November 14, the price of the memecoin began to steadily decline, accompanied by fluctuating financing rates. While funding remained positive at times, signaling continued bullish sentiment, periodic negative funding rates signaled profit-taking and market hesitation.
In parallel with this consolidation, PEPE’s Futures Open Interest peaked at $308 million on November 16 – hinting at a significant increase in market activity and trader participation.
This spike appeared to be in line with PEPE’s recent bullish price momentum – a sign of greater confidence among traders and an increase in speculative interest.
Source: Coinglass
Finally, Open interest represents the total value of outstanding futures contracts, and the steady increase prior to November 16 showed strong momentum and liquidity in the market.
However, it is worth noting that Open Interest was down to $239 million as of November 18, indicating that positions have been unwound somewhat.
This decline could indicate profit-taking or a shift in sentiment after the peak. While the aforementioned drop could indicate caution among traders, Open Interest remains high. What this means is that there is still some sustained interest in PEPE.
Credit : ambcrypto.com
