Over the last month, PEPE [PEPE] has experienced a downward trend, resulting in a loss of 47.78%. In the latest 24-hour period, PEPE has continued this decline with a 1.89% drop.
Recent market developments indicate a potential reversal for PEPE, as several positive indicators are emerging, especially regarding current accumulation. Nonetheless, some sectors of the market maintain a bearish outlook.
Anticipating a Significant Price Surge
On the 4-hour chart, PEPE is trading within an ascending channel, a consolidation phase characterized by distinct support and resistance levels.
At present, PEPE has just bounced off the support level and is heading towards the upper resistance level at $0.00001056. A breakthrough at this resistance point would confirm bullish momentum in the market.
If PEPE manages to rally from the support base to the peak at $0.00001477, it would mark a 54.22% increase.
However, potential resistance levels along the rally path include $0.00001137, $0.00001217, and $0.00001331.
Further analysis suggests an ongoing uptrend as more buyers enter the market.
Continued Accumulation of PEPE Tokens
Utilizing the Accumulation/Distribution Ratio on the chart, CryptoCrypto has identified ongoing accumulation in the market, with approximately 635.23 trillion PEPE tokens traded at that level.
While this signals a positive trend with an upward trajectory, a descending line pattern indicated by the dotted line suggests that significant accumulation could occur in upcoming trading sessions.
If realized, this would signify heightened buying activity, potentially propelling PEPE past major resistance levels in the future.
Currently, the Relative Strength Index (RSI) is showing renewed buying interest. With a current reading of 47.02 and an upward trend in the RSI line, a crossover above 50 would confirm bullish market sentiment.
Additional data from Coinglass on Exchange Netflow reinforces this optimistic outlook. A negative exchange netflow (red) typically indicates buying pressure, while a positive netflow (green) implies selling activity.
Since the initial week of 2025, continuous buying has been noticeable in the spot market, with $30 million worth of PEPE bought from exchanges last week alone.
The largest single purchase this year amounted to $148.86 million. If this buying trend persists, PEPE could experience sustained growth.
Persistent Selling Pressure Lingers
The Open-Interest Weighted Funding Rate, which amalgamates Open Interest (OI) data from the derivatives market with the Funding Rate to gauge potential price movements and sentiment, currently indicates a bearish outlook.
The OI-Weighted Funding Rate peaked at 0.0101% on February 14th and has since dropped to 0.0002, remaining in negative territory. This suggests an abundance of sellers, possibly hindering PEPE’s rally prospects.
A rise in the OI-Weighted Funding Rate would bolster the overall bullish sentiment if it begins to trend upwards.