PEPE’s Bullish Run Tied to Ethereum

• PEPE’s bullish breakout highlights its potential for further growth.
• The meme coin’s price is closely tied to Ethereum, and increased Ethereum burns could boost its value.
• PEPE has outshined competitors like Dogecoin and Shiba Inu in long-term holder returns.

PEPE, the frog-themed meme coin, has been making a significant impact in the cryptocurrency landscape with a strong correlation with Ethereum driving its bullish streak. Recently, PEPE broke out of a bullish continuation pattern, which included a retest for confirmation, reigniting investor enthusiasm. The token’s correlation with Ethereum is a pivotal factor propelling its price surge.

One primary factor behind PEPE’s success is its robust correlation with Ethereum. As Ethereum continues to burn tokens, the resulting scarcity could indirectly enhance PEPE’s value. Since Ethereum is seen as a stable and influential asset, its positive performance can significantly benefit PEPE, which often rides on Ethereum’s coattails. This has placed PEPE in a favorable position in the eyes of both retail investors and long-term holders.

Data from IntoTheBlock shows that PEPE’s 60-day correlation with Ethereum is a high 0.92, which is even greater than Bitcoin’s 0.84. A correlation coefficient near +1 indicates that the prices of the two assets tend to move in the same direction, affirming a strong positive relationship between ETH and PEPE.

PEPE’s Retail Traders Show Growing Interest

In addition to its correlation with Ethereum, PEPE has outperformed its more prominent rivals, Dogecoin (DOGE) and Shiba Inu (SHIB), in terms of long-term holder returns. Data from Santiment reveals that PEPE’s long-term holders have enjoyed significant returns amid its recent price gains. Notably, retail traders are more active than large investors or “whales” in acquiring PEPE, which points to a speculative nature driving the recent price hikes.

While PEPE’s bullish performance is promising, potential investors should approach with caution and conduct detailed research before making any commitments. The cryptocurrency market remains highly volatile, and past success does not guarantee future performance.

For more trading tips and strategies, Click Here For More Trading tips and strategies.