- Technical Setup Hints at a Reversal: PEPE has formed a falling wedge pattern and bullish divergence, with indicators like RSI and MACD signaling a potential breakout toward $0.00002828.
- Meme Coin Rotation Could Favor PEPE: Solana meme coins face growing scrutiny due to rug pulls, possibly leading investors to rotate funds into more established meme tokens like PEPE.
- Whales and Holders Show Strong Confidence: 17% of PEPE whales have never sold, and the total holder count has increased from 392,650 to 406,000, suggesting accumulation despite price declines.
Pepe ($PEPE), one of the most talked-about meme coins, is struggling at $0.0000084, down over 70% from its December high. But could a strong comeback be brewing? Some signals suggest a potential reversal, possibly pushing PEPE back toward its all-time high of $0.00002828.
Technical Breakout—Falling Wedge Pattern in Play
One of the key reasons for a potential PEPE recovery is the formation of a falling wedge pattern, coupled with bullish divergence on the daily chart.
A falling wedge consists of two descending, converging trendlines—a setup that often signals a reversal. In PEPE’s case:
- The upper trendline started forming after its December peak.
- The lower trendline has been in play since November.
Now, these lines are converging, hinting that bearish momentum is weakening. Supporting this, the Average Directional Index (ADX)—which measures trend strength—has dropped from 40 to 32, reinforcing a loss of downside momentum.
Additionally, the Relative Strength Index (RSI) and MACD oscillators have printed a bullish divergence. This occurs when an oscillator rises while price continues falling, often preceding a strong breakout. If this setup plays out, PEPE could surge by 245%, reclaiming its all-time high of $0.00002828.
Meme Coin Rotation—Solana to Ethereum?
PEPE could also benefit from a shift in meme coin interest. The Solana meme coin ecosystem has been under scrutiny as rug pull scams continue to surface. A notable case was Libra, which was promoted by Javier Milei.
With concerns growing over Solana-based meme coins, traders may look to rotate capital into more established meme tokens—and PEPE stands out with its longer track record. Since its 2023 launch, PEPE has soared over 3,500%, proving its staying power compared to many short-lived meme coins.
source: tradingview
Whale Behavior and Rising Holder Count
Another bullish sign? PEPE whales aren’t budging.
- 17% of PEPE whales have never sold a single token, according to Murad, a well-known X analyst.
- This ranks PEPE as the third-biggest token in terms of long-term whale holding, behind SPX6900 and GigaChad.
Beyond whale activity, PEPE’s holder base keeps growing. The number of holders has risen from 392,650 last month to over 406,000 now, suggesting accumulation despite the price dip.
Final Thoughts—Rebound Incoming?
With a bullish wedge formation, potential rotation from Solana meme coins, and strong whale confidence, PEPE is showing signs of life. If it holds key levels and breaks out, the next major target is $0.00002828.
For now, watch the trendlines closely—if PEPE breaks resistance, the next leg up could be explosive.
