Pepe Faces Resistance, But a Bullish Turn Could Be on the Horizon
Pepe (PEPE) is currently hitting a local resistance zone. This isn’t necessarily bad news. It could actually be a springboard for a bullish move. The resistance aligns with the 0.618 Fibonacci retracement and the value area high. This makes it a strong spot for a healthy rejection.
Traders are looking for a potential higher low. If this forms, it could set the stage for a strong move to the upside. Instead of a sharp reversal, this scenario suggests a retrace that forms a higher low—a classic bullish signal.
- Pepe is testing a local resistance around the 0.618 Fib and value area high.
- A rejection could led to a sweep of swing low liquidity near the point of control.
- A higher low structure would confirm a bullish continuation.
Should this rejection happen, the price is expected to move down toward the point of control.This area also aligns with the VWAP support level, creating strong technical confluence. If price takes out the swing low but quickly closes back above it,this confirms a higher low structure—a strong bullish signal.
Such a move could result in a 35% upside push, provided broader market conditions remain favorable. This pattern relies heavily on a supportive macro surroundings, especially strength in majors like Bitcoin and ethereum. If these assets continue trending upward, Pepe is highly likely to follow with a bullish reaction from support.
For now, the market dynamics are leaning toward bullish continuation. The reaction around this technical region will be pivotal. The presence of confluence—including the 0.618 Fibonacci, value area low, and point of control—makes this a strong candidate for a base before the next leg higher.
