Pepe forms a bullish flag after a 100% rally in early May. With $527 million in open interest and a spike in funding rates, the meme coin targets resistance at $0.000020.
As the crypto market experiences a bullish turnaround, meme coins are regaining momentum. Over the past 24 hours, top meme coins like Dogecoin, Shiba Inu, and Pepe have surged by nearly 5%. Could Pepe’s bullish comeback result in a flag pattern breakout toward the $0.000020 mark?
PEPE Price Analysis
In the 4-hour price chart, Pepe maintained a sideways trajectory between $0.000015 and the upper psychological barrier at $0.00001196. This consolidation phase lasted 11 days and compressed trend momentum.
The sideways movement followed a near 100% rally in early May, where PEPE surged from $0.00000761 to $0.000015. This price action completes a classic bull flag formation, with the rally serving as the flagpole and the consolidation phase forming the flag.
Supporting the case for an upside breakout, Pepe’s current recovery is pushing toward the upper boundary. Momentum indicators further reinforce the bullish outlook. The MACD and signal lines remain in positive alignment, while the RSI is trending upward after crossing the midline.
With growing bullish sentiment, technical indicators continue to support an optimistic view for Pepe. According to trend-based Fibonacci levels, a successful flag breakout could target the 78.60% retracement level near $0.000020, with an intermediate resistance around the 50% level at $0.00001657.
On the downside, key support remains at $0.00001196, followed by the psychological level at $0.000010.
Pepe Funding Rate Spike Signals Bullish Sentiment in the Futures Market
Bullish expectations of a breakout rally are also rising in the PEPE derivatives market. Open interest has increased by 3%, reaching $527 million, close to its all-time high. Meanwhile, short liquidations over the past 24 hours have exceeded $1 million.
As of the latest data, the funding rate for PEPE has spiked to 0.0145% following a period of consolidation. This reflects a sharp rise in bullish sentiment and suggests growing anticipation of an upside move, potentially fueled by leveraged positions.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
