PEPE Continues 4-Month Downtrend Even As Short-Term Holders Exit

PEPE has continued its downward trajectory, hitting a six-month low of $0.00000670. The meme coin’s sustained losses have significantly eroded investor confidence, leading even uncertain holders to pull back. 

The extended drawdown has created a challenging environment, with sentiment remaining overwhelmingly bearish.

PEPE Investors Are Losing Hopes

Short-term holders (STHs) have exited the market over the past month. Their participation has dropped from 11.5% to 7%, a 4.5% decline that reflects the growing reluctance to engage with PEPE at current price levels.

The prolonged downtrend has discouraged traders, as any recent investments have resulted in losses.

Typically, a low STH presence can be seen as a stabilizing factor, reducing volatility. However, this case highlights rising pessimism among PEPE investors.

The absence of new inflows and the reluctance of holders to re-enter suggest that sentiment remains fragile, further delaying any potential recovery.

PEPE STH Holding. Source: IntoTheBlock

PEPE’s macro momentum remains weak, with technical indicators signaling persistent bearish conditions. The Relative Strength Index (RSI) has remained stuck in the bearish zone for over a month, indicating continued selling pressure.

The lack of upward momentum suggests that recovery remains unlikely in the near term.

Additionally, worsening broader market conditions have exacerbated PEPE’s decline. Without a shift in macroeconomic or crypto market trends, the meme coin could remain under pressure. Until key resistance levels are breached, bearish dominance is expected to persist.

PEPE RSI. Source:  TradingView

The PEPE Downtrend Continues

PEPE’s price has fallen to $0.00000670, holding above the critical support of $0.00000632. Sitting at a six-month low, the meme coin’s four-month-long downtrend shows no signs of reversal. If bearish pressure continues, PEPE could lose its support and sink further.

A breach of $0.00000632 would likely result in PEPE falling below $0.00000600. This could extend losses further, pushing the price toward the next support at $0.00000587. Without a strong reversal, PEPE may continue its downward trajectory, deepening investor losses.

PEPE Price Analysis. Source:  TradingView

The only way to invalidate this bearish outlook is if PEPE reclaims the crucial resistance of $0.00000951 as support. A successful breakout above this level would increase the chances of the meme coin returning to $0.00001000.

However, before this can happen, PEPE must first breach $0.00000718 and $0.00000839, both acting as key resistance levels on the way to recovery.