POPCAT price crash approaching, exit time or what?
The popular Solana-based meme coin PopCat (POPCAT) is set for a marked downtrend as it reflects bearish price action on a daily time frame. The meme token has received a lot of attention from crypto enthusiasts in recent days due to its impressive performance.
POPCAT technical analysis and upcoming levels
According to CoinPedia's technical analysis, POPCAT is forming a head and shoulders price action pattern on the daily time frame. This estimate is today's popular decline of 7.5% from the previous level, which is now seen as the first shoulder of the H&S pattern.
Based on the recent price action, if POPCAT experiences another decline and reaches the $1.2 level, the pattern will be successfully confirmed. According to Mem Coin's daily chart, $1.15 appears to be the neckline of the H&S pattern. If POPCAT breaks this level and closes the daily candle below it, there is a high probability that the coin will drop more than 20% in the coming days.
However, this bearish thesis will hold only if POPCAT closes the daily candle below the $1.15 level, otherwise it will be rejected.
Bearish On-Chain Indicators
On-chain measurements further support POPCAT's negative view. According to on-chain analytics firm Coinglass, POPCAT's long/short ratio currently stands at 0.92, indicating strong bearishness among traders. Additionally, the open interest decreased by 7.9% in the last 24 hours and by 3.5% in the last four hours.
This decline in Mem Coin's open interest suggests that traders are either exiting their positions or may be balancing due to continued price declines.
Combining these on-chain metrics with technical analysis, it appears that the bears are currently controlling the asset and could extend the price decline in the coming days.
POPCAT's current price momentum
At press time, POPCAT is trading at around $1.28 and has experienced a price drop of over 7% in the last 24 hours. During the same period, trading volume fell by 40 percent, indicating less participation from investors and traders, possibly due to price action.
