PEPE Market Review and Technical Analysis

Recent performance of PEPE is worth paying attention to. From the technical chart, the price movement is suppressed by multiple moving average systems, and it is generally in a clear downward channel. This suggests that shorting on rallies might be a more prudent approach.

Key information from the data perspective:

First, liquidation data reflects bearish pressure. In the past 4-hour window, long liquidations amounted to $575,000, while short liquidations were only about one-seventh of that. This extreme imbalance in liquidations indicates difficulties for the bulls.

Second, the long-short position ratio remains at approximately 1:1. Behind this balance, continuous bottom-fishing funds are absorbing rebounds during the decline. From a trend-following perspective, these bottom-fishing positions may be reinforcing the downward trend.

Third, from the time series of price movements, each small increase encounters resistance in the dense moving average zones, limiting the rebound space.

Reference ideas:

If the price returns to the $0.00425-$0.00435 range, it can serve as an initial shorting reference point; if it continues to face pressure in the $0.00440-$0.00450 range, consider increasing short positions; set stop-loss at $0.00460; the first phase target focuses on $0.00410, and after further breakthrough, aim for support around $0.00390.

The key is that a rebound and a trend reversal are two different concepts. Short-term price increases do not mean the long-term pressure has been alleviated. In the context of continued technical pressure, following the trend direction is often more reliable than predicting a reversal.