Pepe (PEPE) and Bonk (BONK), two prominent memecoins, faced significant declines over the past few weeks. Coin Edition’s data from CoinMarketCap revealed PEPE’s drop of about 80% from its peak of $0.00000155 in December.
Similarly, Bonk (BONK) faced a decline from its high of $0.000030 on December 15 to a mere $0.000010 at present, reflecting a significant drop in Solana’s leading meme coin.
Despite their recent struggles, both memecoins had experienced surges that initially brought them into the spotlight. PEPE saw a remarkable 1,813% rise over 365 days, mainly driven by a surge in April 2023. On the other hand, BONK exhibited a more recent 5,185% surge over 90 days, possibly leading to profit-taking by early investors.
Pepe’s Price Analysis:
Examining PEPE’s 4-hour chart, it failed to indicate a breakout pattern, remaining within a descending channel. Recovery attempts were evident, but the overall price action signaled continued descent. The Relative Strength Index (RSI) suggested a potential further decline unless buyers could maintain support at $0.0000010, potentially pushing the price toward $0.0000011.
However, the Directional Movement Index (DMI) countered the possibility of an uptrend. Currently, the +DMI (green) was 12.07, while the -DMI (red) stood at 33.85, with the ADX (yellow) at 33.70, giving more weight to the -DMI. This scenario might lead PEPE to consolidate around $0.0000010 or even drop below this level if selling pressure intensifies.
Bonk’s Pattern Analysis:
In the last seven days, BONK faced a 26.75% decrease. On the daily chart, BONK showed signs of being ensnared in a pattern that might not prompt significant movement.
An additional concern was the dwindling trading volume for BONK during its recent period. The formation of a symmetrical triangle on the daily chart suggested BONK had been consolidating and might soon experience a breakout or breakdown.
A break below the trendline at $0.00010 could signify a new bearish trend for BONK. Conversely, a breakout above $0.000011 would necessitate buyer activity, potentially signaling the start of a bullish trend. Despite a slight increase to 37.50, the RSI requires more upward momentum to confirm a potential increase in BONK’s price.
