PEPE - -10.21% in 24 Hours Amid Short-Term Volatility

On SEP 3 2025, PEPE dropped by 10.21% within 24 hours to reach $0.0000097, PEPE rose by 0% within 7 days, rose by 134.72% within 1 month, and dropped by 5100.2% within 1 year.

The 24-hour decline followed a period of sharp short-term price swings. While the token registered a 134.72% increase in the previous 30 days, this momentum failed to sustain over the last 24 hours. The drop was not tied to a specific on-chain event or macroeconomic catalyst, but rather aligned with broader market sentiment shifts that saw investors reassess risk exposure in speculative digital assets.

Technical indicators point to a mixed picture of market behavior. The Relative Strength Index (RSI) dipped into oversold territory following the recent price correction, suggesting potential for a near-term rebound. However, the Moving Average Convergence Divergence (MACD) showed bearish divergence, indicating ongoing downward pressure despite the RSI signal. These conflicting signals suggest a market in transition, with traders reacting to both algorithmic triggers and sentiment-based behavior.

Backtest Hypothesis

The backtesting strategy in question involves entering a long position when the RSI crosses into oversold territory (below 30) and the 20-day exponential moving average (EMA) is below the 50-day EMA, signaling a potential short-term bottom. A stop-loss is triggered if the price falls below the 20-day EMA for two consecutive days, while a take-profit is set at a 15% gain from the entry point. This approach attempts to capture rebounds in overcorrected markets.

Applying this hypothesis to recent PEPE price action, the last 24-hour drop would have triggered the long signal based on the RSI reading. The position would remain open if the 20-day EMA stays above the 50-day EMA and the price continues above the 20-day EMA. Given the short-term nature of the strategy, it is designed to capitalize on volatility rather than long-term trend continuation, making it potentially suitable for traders seeking to exploit PEPE’s recent sharp correction.