PEPE posted significant gains on Wednesday as market dynamics shifted in favor of bulls. The token climbed 6.57% in the last 24 hours to reach $0.00000650 at the time of writing.
The rally comes amid broader market volatility affecting digital assets. PEPE's price movement has caught the attention of traders who monitor technical patterns for signs of sustained momentum.
Technical Analysis Points to Critical Resistance Level
Market analysts are watching a key price threshold that could determine PEPE's trajectory in the coming weeks. The token is approaching the midpoint of its Gaussian channel, a technical formation that combines multiple indicators to identify potential trend reversals.
Crypto trader Eco Nomad highlighted the $0.00001078 level as particularly significant. This price point served as a launching pad for PEPE's record highs throughout 2024. The token struggled to maintain similar momentum in early 2025, despite showing strength during summer months.
The Gaussian channel methodology integrates the Supertrend indicator with the Stochastic Relative Strength Index. These tools help traders assess whether current price action represents genuine breakout potential or temporary volatility.
Breaking above the midpoint could signal a shift in market sentiment. Failure to hold these levels might result in renewed downward pressure.
Trading Volume Reveals Strong Market Interest
Volume metrics provide crucial insight into the strength behind PEPE's rally. Spot market activity reached $1.2 billion, placing the token second only to Dogecoin's $1.8 billion among meme coins.
Futures markets showed even stronger participation. PEPE recorded $1.76 billion in leveraged trading volume, surpassing its spot market figures. This divergence suggests traders are actively positioning for potential price movements.
The 84% increase in trading volume compared to previous periods adds weight to bullish arguments. Higher volume typically accompanies legitimate price trends rather than speculative spikes.
Liquidation data reveals an unusual pattern that favors long positions. Out of $3.10 million in forced position closures over 24 hours, short sellers accounted for $2.99 million. This represents a stark imbalance in market positioning.