Could PEPE price hit new highs as supply shrinks?

PEPE's exchange supply has seen a significant intraday decline, a sign that holders are expecting a price hike, the rising average coin age is showing a lack of selling pressure and a rallying stage.

Although the AMA lines do not show a strong bullish trend, they indicate potential for consolidation, setting the stage for a possible price increase. Despite a 442.77% increase this year, PEPE price will struggle to break through and hold above the $0.0000080 level.

The PEPE offer triggered a significant signal on the exchanges.

Between March 25 and March 26, PEPE's exchange supply decreased significantly, dropping from 180.7 trillion to 178.7 trillion.

Such a large supply reduction for commercial supply will have a significant impact on the PEPE price, primarily due to the principles of supply and demand. When the supply of PEPE on exchanges decreases, but demand remains constant or increases, it naturally puts upward pressure on the price.

Historically, an example of this situation is when a similar reduction in supply is immediately followed by a dramatic increase in price – from $0.000008 to $0.0000106 in one day.

This pattern suggests that the recent decline in currency supply could be a precursor to another significant price hike for PEPE, as reduced supply on trading platforms could increase interest and price buying.

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PEPE indicates the average age of coin collecting

Since the beginning of March, PEPE's average coin age has been on a continuous upward trend. Average coin age measures the average age of all coins in the network, calculated from the time they were last moved.

This measure serves as an indicator of investor behavior. A growing average coin age suggests that holders are choosing to hold onto their coins rather than sell them, indicating an accumulation period. This trend is generally seen as a sign for the cryptocurrency as it indicates a strong hold-up sentiment among investors and a reduction in selling pressure that could lead to price increases.

The average coin age has stabilized over the past three days, hinting that PEPE may be entering a consolidation phase. Periods of consolidation often precede significant market movements as they reflect the balance between supply and demand before a new trend develops.

This stability of the average coin age may be an indication that PEPE is preparing for the next bullish phase as the market strengthens and prepares for future volatility.

PEPE Price Prediction: Can it go above $0.000011?

In the year On March 14, PEPE reached an all-time high, reaching an impressive $0.0000106. After reaching this peak, the price has faced challenges in showing signs of struggle in the market, putting it above $0.00000080.

Currently, three of PEPE's four Exponential Moving Average (EMA) lines are converging, closely matching the current price trend. This convergence, especially with short-term EMA lines positioned above long-term counterparts, sends a bullish signal to investors. This alignment indicates that the price of PEPE may be stabilizing, entering a consolidation phase as market participants gauge their next moves.

Exponential moving averages (EMA) focus on more recent data, making them more responsive than simple moving averages (SMA). More weight is given to the most recent values, less weight to older data.

Read More: Pepe (PEPE) Price Prediction 2024/2025/2030

For PEPE, the supply of exchanges and the increase in the average age of the coin will want to maintain their assets. PEPE prepares for potential price increases and maintains profits. If PEPE breaks the $0.0000085 level, it could reach $0.000011 for the first time. However, if it falls below the $0.0000070 support, the price may drop to $0.00000049.