- PEPE is hovering at the Bollinger Band mid-range, a historically bullish signal, with strong liquidity inflows supporting a possible rebound.
- However, key resistance zones and mixed market sentiment could challenge its path to a 20% rally.
The memecoin market may be gearing up for its next big move — and PEPE could be leading the charge. Following a 20% monthly gain, PEPE has recently entered a short-term correction, dipping nearly 9% last week. But don’t count it out just yet. According to technical indicators, the frog-themed token might be on the brink of another rally.
Currently trading around $0.000008293, PEPE has settled into the Bollinger Band mid-range on the daily chart — a historically bullish zone. In past cycles, touching this midpoint often marked the beginning of an upward reversal. Could this pattern repeat?
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Fueling optimism is the Money Flow Index (MFI), which currently stands at 72.01 — well above the neutral 50 mark. This high reading signals strong capital inflows, reinforcing the idea that investor interest remains solid despite the recent dip. In other words, money is still flowing into PEPE, not out of it.
However, there’s no smooth sailing ahead. A dense supply zone looms just above current price levels, presenting significant resistance. If PEPE wants to stage a 20% breakout, it’ll need to push past this area without losing steam. On the flip side, if momentum fades, support levels at $0.00000734, $0.00000645, and $0.00000578 could serve as lifelines.
Market sentiment remains mixed. Futures markets lean bullish, with the Open Interest Weighted Funding Rate climbing to 0.0121% — a sign that many traders are betting long. Yet, spot markets tell a different story. Investors have offloaded approximately $2.65 million worth of PEPE recently, introducing a layer of uncertainty.
The short-term outlook for PEPE hangs in the balance. While technicals suggest a rebound could be imminent, key resistance and shifting market sentiment may limit upside potential. Still, if liquidity inflows hold and Bollinger patterns repeat, a 20% rally may not be out of reach. As always in crypto, the next few days could be pivotal.