- Bulls are stepping into PEPE again as it sets up to record a market breakout to the upside.
- A whale has accumulated 500 billion PEPE, fueling its potential to see a rally.
Pepe [PEPE] has been on the upside in the past 24 hours, gaining 11.38%, placing it among the top gainers, according to data from CoinMarketCap.
The rally for PEPE is likely just beginning, potentially multiplying its current daily gain tenfold, based on analysis of technical indicators and the chart pattern.
A breakout on the horizon on the chart
AMBCrypto’s analysis of the chart showed that the current price action was trading within an ascending triangle pattern.
This pattern is known to signal the start of a market rally. It consists of a horizontal resistance and diagonal support lines converging.
Source: TradingView
For a rally to be initiated, the horizontal resistance level must be breached. Currently, PEPE is heading toward this resistance level.
A breach of this resistance at $0.00000918 would lead PEPE to a 126% rally, taking it to $0.00002077, as long as it maintains its momentum.
Bulls are making an entrance again
Bulls are making an entrance into the market, as indicated by the Bull Bear Power (BBP).
This indicator suggests whether bulls or bears are in control, depending on the color of the histogram bar displayed.
Green indicates the presence of bulls, while red confirms that bear traders are steering the price.
As seen on the chart, PEPE’s BBP has formed a green histogram bar for the first time in five days, during which sellers had been in control.
Source: TradingView
Similarly, the Relative Strength Index has reclaimed the bullish region (between 50 and 70) on the chart.
A continued trend within this region implies that PEPE will continue to rise steadily, adding more fuel to the potential rally.
Whale backs PEPE with major funds
One whale, in a noteworthy move, has purchased 500 billion PEPE worth $4.36 million, adding more fuel to the rally.
This whale now holds 2 trillion PEPE worth $17.42 million.
Source: Lookonchain
Movements such as this tend to inspire broader market confidence, allowing more whales and retail traders to invest openly in the asset.
If this trend continues, more bulls are likely to enter the market, purchasing PEPE and fueling its eventual breakout from the technical pattern.