Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesStocksEarnInstitutionAI & More
Pepe (PEPE) Holds Key Support – Will This Pattern Spark a Recovery?

Pepe (PEPE) Holds Key Support – Will This Pattern Spark a Recovery?

CoinsProbeCoinsProbe2025/05/31 14:00
By:Nilesh Hembade

Date: Sat, May 31, 2025 | 08:06 AM GMT

The cryptocurrency market witnessed a sharp pullback over the past 48 hours, sending major tokens into the red. Bitcoin (BTC) briefly dipped to a low of $103K, while Ethereum (ETH) touched $2,500. This drop triggered steep corrections across major memecoins, including Pepe (PEPE).

PEPE saw a double-digit decline of around 11%, trimming its monthly gains to 28%. However, a well-known pattern forming on the chart suggests that a rebound may still be possible.

Pepe (PEPE) Holds Key Support – Will This Pattern Spark a Recovery? image 0 Source: Coinmarketcap

Broadening Wedge Setup in Play

PEPE’s 4-hour chart shows a classic ascending broadening wedge—a pattern that typically indicates high volatility and uncertainty. Although often considered bearish, it can also lead to sharp upside moves before a potential breakdown.

As seen in the chart, the latest correction began after PEPE was rejected from the upper trendline around $0.00001632 on May 23. This triggered a steep drop toward the wedge’s lower boundary.

Pepe (PEPE) Holds Key Support – Will This Pattern Spark a Recovery? image 1 PEPE 4H Chart/Coinsprobe (Source: Tradingview)

Today, PEPE tested this lower trendline support near $0.00001096 and managed a small bounce. As of now, it’s trading around $0.00001137, just below the 200-day moving average (MA) at $0.00001189—a critical resistance level.

What to Watch Next?

If PEPE can close and sustain above the 200 MA, it could confirm a bullish reversal and send the price climbing back toward the upper trendline, potentially aiming for $0.00001770 and higher in the short term.

However, if the price fails to hold above the lower wedge support, the bearish nature of the pattern could take over, possibly leading to a breakdown below $0.00001000 and further downside.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always conduct your own research before making investment decisions in cryptocurrencies.

0
0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

Understand the market, then trade.
Bitget offers one-stop trading for cryptocurrencies, stocks, and gold.
Trade now!

You may also like

US CPI Exceeds Expectations Again, Waller's Warning Comes True! Wall Street Focuses on Whether December Rate Hike Will Be 25 or 50 Basis Points; "New Fed News Agency": Stop-and-Go Strategy Faces Test

The "New Federal Reserve Newsletter" pointed out that before the release of the CPI, Waller suggested the possibility of a 50-basis-point rate hike in December, and so far, no other Fed officials have publicly responded. In addition to a single 50-basis-point hike, the Fed may also choose to signal consecutive rate hikes in December and January. Wall Street generally believes that inflationary pressures remain stubborn, further strengthening the case for a rate hike in December, though a 50-basis-point increase is not a consensus. The market is concerned about whether the Fed will extend the tightening cycle.

华尔街见闻•2026/11/10 18:25

CPI Deals a Blow to US Bonds! 2-Year Yield Surges Over 20 Basis Points Intraday, Gold and Silver Plunge

After the release of the CPI, traders began to expect a lower likelihood of a 50 basis point rate hike in December; this year’s Federal Reserve voting member Logan stated that a faster pace of rate hikes may be needed this winter, with at least two more 25 basis point hikes required before pausing. Subsequently, the rise in U.S. Treasury yields continued to widen, with the 10-year yield climbing back above 5.0% and rising more than 10 basis points intraday; spot gold once fell over 3%, while spot silver at one point dropped more than 4%.

华尔街见闻•2026/11/10 18:25