Here’s why Pepe coin price went parabolic

Pepe Coin Rallies to Cap 2024 on a High

Pepe coin (PEPE), the third largest meme coin, concluded 2024 with a surge of nearly 20%, partially offsetting losses incurred earlier in the month.

Elon Musk's Impact

The rebound was attributed to Elon Musk, the world's wealthiest individual, changing his X profile picture to a Pepe-like image. Musk's considerable influence, with over 234 million X followers, sparked speculation of growing interest in Pepe, akin to his prior involvement with Dogecoin (DOGE).

Remarkable Growth Trajectory

Launched in 2023, Pepe has experienced exceptional growth, with its market cap skyrocketing from near zero to a remarkable peak of over $10 billion in early 2024. The token has surged by approximately 1,500% over the past year, placing it among the top-performing meme coins.

Investor Profits

Pepe has generated substantial wealth for many investors. According to IntoTheBlock data, 70% of holders, approximately 178,000 individuals, have realized profits, while 24% have experienced losses.

Price Analysis

Pepe's daily chart shows a peak of $0.00002833 and a subsequent pullback, finding support at the 50% Fibonacci Retracement point ($0.0000145) and forming a bullish hammer pattern.

Currently trading above critical resistance at $0.00001950 and the 200-day and 100-day moving averages, Pepe is poised for further gains.

Potential Catalysts

Bullish momentum is expected to continue, with targets set at the year-to-date high of $0.00002833, representing a potential upside of 33%. Upcoming catalysts include Donald Trump's inauguration and the anticipated FTX distributions, which could potentially reinvest funds into cryptocurrencies, including Pepe.