Pepe Coin (PEPE), the second-largest meme coin on the Ethereum blockchain, has been generating buzz among traders and analysts alike. Currently priced at $0.00000777, PEPE has shown a 10% increase in value over the past month, though it remains down 61% year-to-date. While short-term price fluctuations continue to occur, there are promising technical indicators suggesting a potential breakout for the meme coin.
Bullish Signals: Key Technical Levels Holding Strong
PEPE’s daily chart reveals promising bullish signals. According to BitcoinSensus, the coin has successfully retested the daily Ichimoku Cloud, a key technical indicator in chart analysis. The Ichimoku Cloud, which once acted as resistance, has now transitioned to support, signaling that PEPE may be on the verge of an upward movement. Holding above the cloud, PEPE’s projected price movement could push the coin back toward the $0.000015 region in the medium term.
$PEPE flipping bullish on the daily🔥
— Bitcoinsensus (@Bitcoinsensus) May 6, 2025
Pepe coin is now retesting the daily Ichimoku Cloud as support before making a move higher pic.twitter.com/ZIbB7xPhgB
Additionally, PEPE has recently tested a crucial support zone between $0.0000075 and $0.0000077. The Ichimoku Cloud’s shift from red to green is a strong indication of strengthening momentum, with traders closely monitoring whether PEPE can maintain its position above this support area to facilitate further upward movement.
Mixed Short-Term Technical Indicators for PEPE Coin
Despite the optimism in PEPE’s daily chart, the coin’s weekly technical indicators present a more cautious outlook. The TradingView technicals dashboard currently shows PEPE as a “Sell” on the weekly timeframe, with 10 sell signals, 10 neutral, and only four buy signals. Key moving averages such as the Exponential Moving Average (50) at $0.00001024 and the Simple Moving Average (30) at $0.00001036 remain as resistance levels, indicating bearish sentiment in the short term.
However, certain indicators suggest that PEPE could be poised for a reversal. The Stochastic %K (14, 3, 3) and Commodity Channel Index (20) are both neutral, hinting at an oversold condition. The Awesome Oscillator and Momentum indicators are stable, indicating that PEPE is in a consolidation zone, potentially setting the stage for a price push if buying momentum picks up.
Also Read: PEPE Coin Price Poised for Breakout: Bullish Signals and Whale Activity Surge
Ethereum’s Influence on PEPE Price Action
As noted by BanklessTimes, PEPE’s price action has often mirrored broader altcoin market trends, particularly Ethereum (ETH). If ETH experiences a rally in the coming days, PEPE could ride the wave, potentially retesting its 2025 highs around $0.000022. The close correlation between ETH and PEPE suggests that any significant upward movement in Ethereum’s price could be the catalyst for a breakout in PEPE.
With these mixed short-term signals and the potential for an Ethereum-driven rally, traders will be watching closely to see if PEPE can maintain its bullish momentum and push past key resistance levels.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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