You thought you had it bad for holding Bitcoin (BTC) all the way through this retracement to a 36% price decrease. Those who held on to memecoins saw their positions devalue 70%, 80%, and even more than 90%. Are a lot of the memecoins going to zero now, or is there one more round left in the chamber for some of them? $PEPE, $BONK and $WIF are analysed.
$PEPE on the brink - bulls need to come in here
Source: TradingView
The weekly chart for $PEPE looks fairly miserable. What was reasonably strong horizontal support down to $0.00000530 has failed to hold. While the price is currently at some kind of support at $0.00000432, this is quite tenuous, and the merest hint of more selling could easily take the price down to what is the last proper horizontal support at $0.00000157.
All this said, if Bitcoin does turn things around and a decent rally takes shape, traders will want some leverage and they will jump onto the memecoins again. With $PEPE it will be a case of monitoring the descending trendline. If the price is able to confirm above, that would be a possible entry point.
Rock bottom for $BONK
Source: TradingView
While $BONK is probably the undisputed top memecoin for the Solana network, it is practically at absolute rock bottom as far as price goes. If it’s a comfort to the bulls, this is a strong horizontal support, although for a memecoin, how strong can support lines really be?
That said, it is holding so far. Also, if it continues to hold through this next 2 week period, the descending trendline will be breached. The last time this happened, it led to a 359% rally.
The Stochastic RSI indicators have all but dropped to the bottom. Therefore the upside price momentum needed for another huge rally may not be too far off. Assuming a breakout does take place, putting a tight stop loss below the descending trendline would help to protect from a fake-out. Caution: stop losses for memecoins may not trigger.
Is a 4x still a possibility for $WIF?
Source: TradingView
The $WIF price looks to be in last-chance saloon. This last horizontal support level has to hold at 0.34. If this fails, zero would definitely be on the table as a target.
That said, where there’s life there’s hope. An imminent cross-up for the Stochastic RSI indicators could signal an end to the misery. If the price does rise from here, and is able to break the downtrend, $0.85 and $1.38 are targets. This could mean a possible 4x from here. Anyone brave enough to take a punt?
