PEPE Becomes 3rd Most-Traded Memecoin on DEXs: Will it overtake DOGE and SHIB?

PEPE Price Analysis:

PEPE price fell towards $0.000063 on Sept 6, down 20% within the weekly time frame, however markets data shows rising demand for PEPE across DEXs, and the derivatives trading platforms.

Could this shift in market dynamics propel PEPE price ahead of Dogecoin (DOGE) and Shiba Inu (SHIB) as the month unfolds?

PEPE Price Falls Behind DOGE, SHIB amid Market Volatility

When PEPE price rallied to a new all-time high of $0.000017 in May 2024, its market captialization crossed $7 billion mark to become the 3rd largest memecoin project globally behind Dogecoin (DOGE) and Shiba Inu (SHIB).

Amid uncertain global macroeconomic landscape, the global cryptocurrency sector has made a sluggish start to September 2024. Consequently, PEPE along with other prominent tokens in the memecoin sector endured significant losses over the past week.

However, a closer look at the market data shows the PEPE has been disproportionately higher losses than its rival meme projects. Partly since many current investors are still holding high unrealized gains.

PEPE price has declined more than 20% within the first week of September. The chart above clearly depicts how it tumbled from $0.00008 on Aug 31 to hit $0.000063 on Sept 6.  While PEPE price has now rebounded towards the $0.00007 level at the time of writing on Sept 7, a closer look at the market data shows that PEPE’s weekly timeframe performance was significantly weaker than DOGE.

The red-shaded area in the chart shows that DOGE only experienced a maximum of 12% losses within the weekly timeframe before making a share rebound after the dovish US NFP report published by the US Bureau of Labor statistics on Friday.

PEPE Becomes 3rd Most-Traded Memecoin

As things stand, PEPE is now down 64% from the all-time highs recorded in May 2024.  But market data trends suggest the bottom could be near and PEPE could be on the verge of a major bullish reversal.

This week, PEPE secured its place as the third most-traded memecoin across decentralized exchanges (DEXs), according to data culled from LookOnChain.

With $36 million in liquidity on DEX platforms, PEPE trailed only SLERF ($46M) and BOME ($37M). Other top contenders include MEW ($30M) and FLOKI ($29M), further demonstrating the competitiveness within the memecoin ecosystem.

Typically, rising liquidity levels indicate a heightened investor interest. If this trend continue, PEPE may witness renewed momentum in the coming weeks.

Adding to the growing optimism, crypto traders might be positioning themselves strategically ahead of the anticipated U.S. Federal Reserve rate cut, expected to be discussed at the September 17 FOMC meeting.

A potential Fed rate cut could flip the broader market into a bullish cycle, creating a window of opportunity for traders seeking high-risk, high-reward plays. Based on the current market dynamic observed across DEXs this week, investors low-cap tokens like PEPE, SLERF and BOME could witness early buying pressure.

This underlines that with PEPE’s strong liquidity and trading volumes could propel it past established memecoins like DOGE and SHIB once market sentiment flips bullish.

PEPE Price Forecast: PEPE Could Reclaim $0.000010 After Fed Rate Cut

At the time of writing on September 7, PEPE is trading at $0.00007, marking a 13% rebound within the last 24 hours. With $36 million liquidity reported across decentralized exchanges (DEXs), PEPE seems positioned for a bullish reversal, particularly if the US Federal Reserve cuts interest rates during the September 2024 FOMC meeting.

Should this scenario play out, PEPE could break through resistance levels and rally towards $0.000010.

In the short-term, PEPE faces immediate resistance at $0.00009, and technical indicators signal a challenging path forward. The Ichimoku Cloud analysis on the chart highlights that PEPE remains under the red cloud, signaling bearish momentum.

PEPE’s failure to break above the Tenkan-sen line ($0.00007125) suggests the bears may still control the short-term outlook. The Accumulation/Distribution Line (ADL), hovering around 1,537.80, reflects diminishing buying pressure, indicating traders may need more bullish triggers to generate upward momentum.

Looking at support levels, the $0.00006500 mark emerges as key. If selling pressure intensifies and PEPE slips below this support, we could see a sharper retracement toward the $0.00006000 psychological level.

However, sustained buyer demand at the $0.00007 pivot zone could allow PEPE to attempt another rally toward the $0.00009500 resistance, potentially positioning the token to outperform meme competitors like DOGE and SHIB when the market turns bullish