Pearl
Bitway
Monad
Ondo
Derive
Walrus
Zcash
Key Insights:
- PEPE price surged in 24 hours, forming a bull flag pattern after a 100% rally earlier in May.
- Open interest in PEPE futures rose 3% to $527M, nearing all-time highs as bullish sentiment strengthens.
- PEPE’s funding rate spiked to over 0.01%, signaling increased leveraged long positions and breakout anticipation.
In the past 24 hours, PEPE price rose significantly, and traders are anticipating the continuation of a bullish trend. An almost 100% increase in early May caused the asset to form a clear bull flag.
Strong interest in derivatives markets has continued to push the meme coin’s performance in the overall crypto rally.
PEPE Price Formed Classic Bull Flag After Early May Rally
PEPE coin price 4-hour chart indicated that the token was moving in a limited area, ranging from $0.00001196 to $0.000015. After rising sharply from $0.00000761 to $0.000015 during the first week of May, the coin entered a sideways trend. A bull flag is present, with the horizontal consolidation area becoming the flag and the past surge forming the flagpole.
Technically, this kind of setup is frequently a continuation of an uptrend. Moving near the top of the flag suggests that a breakout may soon occur. This area has stopped declining prices for 11 days, squeezing the upward trend before this rally.
During the consolidation phase, there is not much selling, so bullish traders have an easier time buying. A rise over $0.000015 could indicate that the pattern has broken out. Should the price move up, it could see further positive development toward the next Fibonacci resistance point.
Meme Coin Fibonacci Levels Suggest $0.000020 Target
Based on technical indicators, the next possible upside target for PEPE is at the 78.60% Fibonacci extension, near $0.000020. It is consistent with what is suggested by the flag and trend continuation patterns. However, before this target is achieved, PEPE will have to move past the 50% retracement level set at $0.00001657.
If the midpoint is not surpassed, the uptrend may stall or lead to another test of the support level. Strong support is at $0.00001196, and falling below could lead to a drop toward $0.000010, a psychological level held in April.
On the 4-hour chart above, the RSI has risen above the neutral region and is heading up from the midline. Furthermore, bullish alignment between the MACD and signal lines shows that the recent rise in prices will most likely be sustained.
More so, analyst Bitcoinsensus noted that PEPE coin price is mirroring its February 2023 market structure, which led to a sharp vertical rally. The current May 2025 pattern suggests a similar setup, with consolidation followed by upward pressure. If history repeats, PEPE could be on track for a steep breakout, potentially reigniting its $50 billion market cap narrative.
Rising Futures Activity Reflects Bullish Expectations
Meanwhile, interest in PEPE from traders can be seen in the derivatives data. Open interest in PEPE-based futures increased by 3% over the past day and reached $527 million. This brought it close to it’s all-time high, reflecting strong positioning among leveraged traders.
As open interest rose, over $1 million in shorts got liquidated. As a result, this can lead to a rise in prices as traders close their positions.
More so, funding rates rose more quickly. Latest data showed that PEPE coin’s funding rate is currently at 0.0145%. This is a sharp increase compared to the previous phase. A positive funding rate indicates that most traders are purchasing, anticipating the price to rise.
Whale Activity and Meme Coin Momentum
Moreover, whale accumulation increased during the consolidation phase, with several on-chain trackers noting large purchases above $0.000012. These positions were established as PEPE price hovered below resistance, indicating accumulation by larger holders expecting a price breakout.
Across the broader meme coin segment, tokens like Dogecoin and Shiba Inu have also gained. This correlated movement suggests that sentiment in the meme coin sector is turning positive again. As overall trading volume increases, capital rotation into lower-market-cap assets like PEPE is gaining traction.
Disclaimer
This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.
