PEPE Bullwhale Reopens Long Position, Gains $34,000 in Recent Rally

Pepe (PEPE) has experienced a sharp rebound in early 2026, with traders and whales re-entering long positions. A prominent market participant known as 'PEPE Bullwhale' recently reopened a long position after a brief pause, reportedly generating gains of $34,000. The move aligns with broader market dynamics and growing speculative interest in the meme coin space.

The recent surge in PEPE has been fueled by increased trading volume, particularly in the meme coin sector. The token’s 24-hour volume reached $896 million, surpassing Dogecoin and Shiba Inu, as traders shifted capital into high-beta assets. Technical indicators like the RSI and MACD suggest strong bullish momentum, although overbought levels raise caution.

Whale activity has also intensified, with large transactions increasing by 620% over the past week. While some whales have moved tokens to exchanges like Binance and Kraken, others continue to accumulate, contributing to price stability. Analysts are closely watching whether sustained accumulation will support a long-term bullish trend.

Why Did This Happen?

The resurgence of PEPE is attributed to a shift in trader sentiment toward high-risk assets. Meme coins have historically decoupled from broader market trends during pullbacks, and PEPE is no exception. The token’s low price and cultural relevance have made it a favorite among retail investors, amplifying FOMO-driven buying.

Whale behavior has played a crucial role in this rally. High-profile traders like James Wynn closed BTC long positions and reallocated profits into PEPE, signaling a strategic rotation. This shift reflects growing confidence in the token’s potential for short-term upside, despite overbought conditions and elevated liquidation risks.

How Did Markets React?

Despite short-term volatility, PEPE has held key resistance levels, allowing the rally to continue. On-chain data shows a drop in profitable transactions, indicating that selling pressure is easing. The Chaikin Money Flow indicator has turned positive, reinforcing the bullish case for PEPE’s price action.

However, market participants remain cautious. The token’s price has not failed to break above $0.00000636, but any slip below this level could trigger a deeper correction. Traders are also monitoring the RSI and Fibonacci retracement levels for signs of exhaustion or continuation.

What Are Analysts Watching Next?

Analysts are focused on whether PEPE can sustain its current momentum amid rising liquidation risks. The token’s derivatives market shows heavy long positioning, with cumulative liquidation leverage near $218 million. If prices slip below critical support, this could trigger cascading forced selling, leading to sharp downward corrections.

Whale distribution patterns are another key factor. Large holders have been selling into strength, moving nearly 2.86 trillion tokens in the past month. This activity suggests that some whales are locking in profits, which could limit upside potential in the near term.

Retail investors, on the other hand, are optimistic. The token’s social media presence and cultural significance continue to drive engagement and speculation. While the rally is currently intact, analysts caution that fragility remains in the broader market structure.

Looking ahead, PEPE’s ability to hold above $0.0000060 will be critical. A close above $0.0000072 could extend the rally toward $0.0000082, a key resistance level that could signal a new phase in the token’s price trajectory. Traders are advised to monitor both technical and on-chain signals for early signs of momentum shifts.