A crypto analyst is raising a flag about meme tokens Pepe (PEPE) and Dogwifhat (WIF). He believes these coins are set for some serious downward moves.
The trader, known as Credible Crypto, shared his thoughts with his 425,900 followers on the platform X. He’s feeling bearish on PEPE right now. He thinks the current rally is about to lose steam and predicts a drop below $0.00000570.
Credible Crypto said, “High time frame distribution takes time. After bouncing off our range lows, we’re back at the highs and struggling to break through them again. This could lead to another failure. When Bitcoin takes its next leg down, I expect PEPE to follow suit. I’m short.”
As of now, PEPE is trading at $0.000011. It’s up over 13% in the last day, but it’s still close to the range high he mentioned.
Now, let’s talk about WIF. Credible Crypto sees a bearish setup here too. He mentioned, “I’ve been waiting patiently for over a week for this setup. I’ve added to my position and am now short on WIF with a full position size. While we haven’t quite hit my USD short target yet, the BTC pairing has reached my upside target. That, along with my current low time frame bias on BTC, is enough for me to trigger this setup. I’ll likely take some profits in the green zone below, where we might see a bounce, but ultimately I’m aiming for the range lows with WIF back under $1.”
Currently, WIF is priced at $2.84.
On the Bitcoin front, Credible Crypto warns that the leading cryptocurrency might pull back after its recent surge. He points out that Bitcoin is likely to trade sideways unless it breaks through the resistance at $69,000.
He said, “People are talking a lot again as we return to the highs, which is the most likely place to expect a rejection. This has happened five times now, and you’d think they’d learn. For your own sake, wait until we actually break out before celebrating. You’ll look foolish if we drop for the sixth time.”
As of the latest update, Bitcoin is trading at $65,907, having risen over 5% today.