Memecoin Mayhem: DOGE Rebounds, PEPE Slumps, PENGU Forms Bull Flag Pattern - Technical Breakdown

Memecoins are dancing to their own chaotic rhythm this week as major players show divergent patterns.

DOGE's Resilience

The original memecoin bounced hard from support levels, showing the kind of volatility that would give traditional finance veterans heart palpitations.

PEPE's Pullback

Frog-themed token PEPE takes a dip while traders question whether this is a healthy correction or the beginning of something uglier.

PENGU's Pattern Play

Trading within a textbook bull flag formation, PENGU could be setting up for its next major move - because what's crypto without some animal-themed technical analysis?

While Wall Street analysts debate P/E ratios, memecoin traders are busy calculating the meme-to-market-cap ratio - and somehow both approaches seem equally speculative in this market.

$DOGE back at breakout level - bouncing now

Source: TradingView

The $DOGE price is currently bouncing from horizontal support at $0.24. After breaking out of a descending trendline it might have been thought that the price would carry on up to the top of the wedge pattern. However, with Bitcoin still generally in uncertain territory, the memecoins were not going to be released yet. Therefore, the $DOGE price only got as far as the $0.27 resistance before coming all the way back down again. So far, a bounce back up looks as though it may be beginning.

$DOGE traversing within wedge pattern

Source: TradingView

The weekly time frame shows how the $DOGE price is traversing within the ascending wedge pattern. While this is generally a bearish pattern, as long as the price stays within, $DOGE will trend higher. 

At the bottom of the chart, the RSI reveals that the indicator line is keeping above the ascending trendline. It will need to bounce again in order to maintain the upward trend. 

$PEPE price still in downtrend

Source: TradingView

The $PEPE price is still in a downtrend. A $0.000012 higher high in mid-September ended up falling away and a lower low was put in towards the end of that month. Currently, the price is descending again towards that lower low and the $0.000009 horizontal support level.

The only bullish factor is that the Stochastic RSI in the 4-hour time frame has its indicators right at the bottom. A bounce WOULD probably be arriving soon.

$PEPE at strong horizontal support

Source: TradingView

The weekly time frame does look a bit more promising for the $PEPE price. The current horizontal support level can be seen to be very strong, so a bounce could take place from here. Also, the Stochastic RSI indicators are getting very NEAR the bottom. Once they do hit bottom, it would only be a matter of time before they cross back up and signal upside price momentum.

$PENGU continues sideways movement in bull flag

Source: TradingView

Looking at $PENGU in the weekly time frame it can be observed that the price could be working towards some positive price action. This might take a while, given that the price hasn’t long bounced from the $0.028 horizontal support level and the Stochastic RSI indicators are still heading for the bottom. That said, the indicator line has broken through the downtrend in the RSI and may start to angle upwards.

This is a good 3 months of consolidating price action inside a bull flag, so an eventual breakout could be a strong one. The measured MOVE of the breakout could take the price to $0.066 - more than a 100% move from the current price.

Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.