Breakout or Fakeout? How to Spot the Difference!
The $PEPE /USDT chart on Binance shows a strong upward move, breaking past resistance at 0.00000776. But is this a real breakout or just a fakeout?
Key Signs of a Real Breakout
✅ High Volume: A true breakout is backed by strong volume. Check if volume is significantly higher than average.
✅ Retest of Resistance: If the price breaks a level and then successfully retests it as support, it confirms strength.
✅ Momentum Indicators: RSI & MACD should indicate bullish strength. PEPE’s Stoch RSI (66.31) suggests momentum, but is it enough?
Fakeout Warning Signs
❌ Weak Volume: If volume is low, the move might lack conviction.
❌ Quick Reversal: If price spikes above resistance but rapidly falls below, it’s a fakeout.
❌ Overbought Conditions: If RSI is too high (above 70), it might indicate exhaustion.
What’s Next for PEPE?
If PEPE sustains above 0.00000776 with strong volume, the breakout is real. But if it drops back below, traders should watch for a fakeout.
What’s your take? Breakout or Fakeout? Comment below! 🚀📉