- Pepe crypto jumped to a record high this week.
- Its market cap surged to over $500 million.
Pepe price rally continued this week as the new meme coin continued to attract users and fans. The token, which is competing with the likes of Shiba Inu, Dogecoin, and Floki Inu, jumped to a record high of $0.0000014, giving it a market cap of more than $500 million.
What is Pepe and why is it surging?
Meme coins are cryptocurrencies that became popular with the success of Dogecoin, a coin that was endorsed by Elon Musk. Today, there are hundreds of meme coins, including Tamadoge, Bonk, Shiba Inu, Saudi Shiba Inu, and Floki Inu among others.
Read more: How to buy Shiba Inu.
Pepe is a new meme coin that seeks to compete with the other popular tokens. Unlike meme coins like Floki Inu and Baby Doge which are creating an ecosystem, it seems like Pepe does not have a utility. As such, the recent rally is mostly because of the hype surrounding the token.
Pepe also jumped as the fear of missing out (FOMO) set in. With its price so low and with the possibility of it going up rising, more people have been forced to buy the token. Data by Etherscan shows that there are now over 75,100 Pepe holders.
Pepe has a maximum supply of 420 trillion tokens. The biggest wallet has 24 trillion tokens while the other one (OKX) has 17.2 trillion. Huobi and MEXC have over 9.6 trillion and 7 trillion tokens, respectively.
Pepe price prediction
So, will Pepe price continue rising? It is a bit difficult to predict whether Pepe will continue rising since it is being driven by hype. However, we can use history to predict the future of this new meme coin. For example, early this year, we saw the launch of Bonk, a meme coin on Solana’s ecosystem. Today, the token has crashed by over 90% from its all-time high.
Bonk is not alone. Shiba Inu made headlines when it was launched in 2021. Today, while the token is one of the biggest in the industry, it remains sharply below its record high. The same is true among other meme coins like Tamadoge, Dogelon Mars, and Floki Inu.
Turning to the hourly chart, Pepe price has formed a double-top pattern at $0.00000014. In price action analysis, this pattern is usually a bearish sign. The token is also between the 50-period and 25-period moving averages.
Therefore, I suspect that Pepe will soon have a bearish breakout, which will see many holders dump the token. If this happens, the next key level to watch will be at $0.0000044, which is about 61% below the current level. It was the highest point on April 20th.
