Meme coins rally amidst Ethereum ETF approval hype, PEPE extends gains by 10%
- PEPE posted double-digit gains on Tuesday, rallying nearly 11% amidst Ethereum ETF optimism.
- Bitcoin, Ethereum and meme coins have extended their rally as traders expect the SEC to approve the Spot Ether ETF this week.
- PEPE’s market capitalization climbed to $5.21 billion, the meme coin ranks in the top 25 assets.
PEPE, a meme coin built on Ethereum, and based on a popular frog-themed meme has rallied in double digits on Tuesday. As crypto market participants await the Securities & Exchange Commission’s approval of a Spot Ethereum ETF, meme coins have started recovering from their decline in the first week of July.
PEPE trades at $0.00001262 at the time of writing, up 11% on Tuesday.
PEPE rallies in double-digits on Tuesday, eyes spot in top 20 cryptos
PEPE currently ranks 24th by market capitalization among all assets. Coingecko shows PEPE’s market cap is over $5.21 billion and the meme coin has rapidly climbed in value in the past two weeks.
PEPE sustained over 37% gains from the past seven days, rallied 11% on the day, on Binance. The meme coin’s rally can be attributed to the bullish sentiment among market participants as ETF experts share their comments on the impending SEC approval of the Spot Ether ETF.
PEPE is a meme coin based on Ethereum and traders expect Ethereum-related and ecosystem assets to rally in response to positive developments related to the largest altcoin in crypto.
Bitcoin Spot ETF approval resulted in gains in Ordinals, BRC-20 and Bitcoin-related assets. If this pattern repeats, Ethereum ETF approval could usher gains in staking, restaking, Layer 2 scaling tokens, related assets, meme coins built on Ether, among other category of cryptos.
PEPE could extend gains and push market cap higher, breaking into the top 20 assets on Coingecko. The market capitalization of the 20th asset is $6.21 billion, per Coingecko data.
PEPE eyes nearly 15% gains
PEPE started rallying on July 14, after nearly two months of decline in the meme coin’s price. The asset could extend gains and rally by 14.46% to the next key resistance level at $0.00001440. This level coincides with the 78.6% Fibonacci retracement of the rally from the April 13 low of $0.00000393 to the May 27 high of $0.00001725 as seen in the PEPE/USDT daily chart below.
PEPE could face resistance at the lower boundary of the Fair Value Gap (FVG) at $0.00001323.
The momentum indicator Moving Average Convergence Divergence (MACD) indicator supports the gains in PEPE, it indicates there is an underlying positive momentum in the meme coin’s uptrend.
PEPE/USDT daily chart
PEPE could find support at $0.00001059, the 50% Fibonacci retracement of the rally, in the event of a correction in its price.
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
