PEPE Coin Shows Strong Recovery Signals as Whale Accumulation and Technical Patterns Point to a Potential Breakout

The PEPE coin has shown strong recovery signals after a period of downward pressure, currently trading around $0.00000837. This meme coin has captured

PEPE price has shown strong recovery signals after a period of downward pressure. The token is now trading at around $0.00000837, up nearly 9% in the past 24 hours.

The recent price action shows that PEPE has managed to stay afloat despite the Federal Reserve's decision to keep target rates unchanged. This upward movement has also created a bullish engulfing candle, completing a morning star pattern that typically signals a trend reversal.

After seven consecutive bearish candles, PEPE has finally broken its declining trend. The token has also surpassed the 23.60% Fibonacci level at $0.00000823 and is preparing to challenge the longstanding resistance at $0.0000090.

A cup and handle pattern is also forming, which is a bullish signal that often precedes upward price movements. The pattern formed as PEPE's price reversed from $0.00000576 in early April and recently bounced back.

The neckline of this pattern coincides with the $0.0000090 resistance zone. A daily close above this level would confirm the breakout from the cup and handle pattern, potentially triggering a rally toward $0.00001465, representing a 60% increase from current levels.

However, if selling pressure emerges, support levels are located at the 50% Fibonacci level of the recent decline at $0.00000711 and the lower band of the Bollinger.

"Smart Money" Is Flowing Into PEPE

One of the most telling indicators of PEPE's potential upside comes from whale activity. According to IntotheBlock's Balance by Holding Indicator, whale holdings (10t to 100t) have increased by 20% in 2025 alone.

The balance held by these large investors has grown from 119.83 trillion PEPE on January 1 to 144.56 trillion on May 7. This massive boost in whale holdings highlights strong underlying confidence in the token and increases the chances of a bull run.

Whales often represent "smart money" in the crypto market, with their accumulation patterns frequently preceding major price movements. The fact that these large holders continue to add to their positions suggests they anticipate higher prices in the future.

This accumulation has occurred despite recent market volatility, indicating a long-term bullish outlook rather than short-term speculation. The consistent buying from these large holders provides a strong foundation for PEPE's price to build upon.

Several technical indicators now align with the bullish case for PEPE. The Supertrend Indicator signals a sustained bullish outlook as the price floats above $0.0000075.

The MACD and Signal lines hint at a crossover as bullish momentum resurfaces. This technical setup supports the upside potential in PEPE's price trend.

On the daily chart, the price is pressing toward the mid-Bollinger band ($0.00000840), with further expansion above this level potentially confirming bullish control.

The Stoch RSI has completed a bullish crossover from oversold territory (7.11), historically a prelude to short-term rallies. Meanwhile, the MACD is flattening out, with histogram bars narrowing toward neutral—a sign that selling pressure is fading.

The RSI, currently at 50.65, has ticked upward, further reinforcing the recovery narrative. Price is also making efforts to reclaim the Ichimoku Tenkan-sen and Kijun-sen levels near $0.00000816–$0.00000831.

A daily close above these levels would flip Ichimoku momentum favorably for bulls. However, upside still faces headwinds from the daily EMA cluster, with the 20-, 50-, and 100-EMAs hovering between $0.00000814 and $0.00000918.

Derivatives Market Shows Growing Optimism

The derivatives market provides further evidence of growing optimism around PEPE. According to Coinglass data, PEPE's Open Interest stands at $396 million, with long positions hitting 52.78% in the last 4 hours.

The rising long/short ratio to 1.1177 suggests a surge of optimism among traders. As seen in the PEPE Liquidation Map, the positional build-up defends the $1.64 million long liquidation risk at $0.00000832.

If the newfound uptrend continues, a $1.12 million short liquidation risk looms at $0.00000843. As the uptrend progresses, a potential surge in short liquidations could