Pepe (PEPE) price showed signs of a strong bullish reversal, which could open the door for potential explosive upside in the coming weeks, a technical analysis shared by Bitcoin Buddha on May 2 suggests.
The crypto price broke out of a prolonged downtrend, signaling a trend shift that could pave the way for a return to the highs reached by the meme coin in December 2024.
"Classic descending channel (bottom in blue) contains prices for 15 months; from December 2024 until May 2025. This is because after cryptocurrency peaked near $0.00002841 in November-December 2024, this downtrend started from that point of the parabolic rally. Afterward, a long correction phase ensued, resulting in more than an 80% correction of the market prices."
"Despite this, a trend shift seems to have taken place in late April as PEPE broke through the descending channel successfully. Breakout has confirmed the price gained over 20%, since then. Support level at $0.00000525 is strengthened by the formation of a rounded bottom. As we see in some of the charts, a critical support-turned-resistance zone at $0.00841 has now been retested and has been flipped into support."
If PEPE continues similarly, it will make its path higher, hitting resistance at $0.00001150, $0.00001668, and $0.00002335. The bullish momentum could push the price to revisit the previous high near $0.00002841, which corresponds to the psychological barrier of $0.00003000.
There is healthy consolidations in the process, signifying sustainable price growth rather than a flash rally in the projection. The same chart also notes similar accumulation zones found in other cycles (such as October 2024) to mark previous historical behavior that promotes the uptrend.
The sentiment among the investors has become positive lately for the meme coins and PEPE seems to be among the ones that are triggering the comeback. Maintenance by traders and renewed interest can be seen with volume data, in addition to showing steady growth.
To sum up, technical indicators and fractals in the past confirm the bulls’ case for PEPE. The coin could make a broader market rally back up to $0.00001668 level and stimulation of the meme coin mania of late 2024 could take it much higher than $0.00000841 levels.
