PEPE Rallies 8% Despite $15 Million Sell-Off

Despite a significant sell-off of approximately $15 million worth of PEPE by a wallet linked to a U.S.-based cryptocurrency exchange, the asset has shown resilience and continued to climb on the charts. This unexpected price movement has sparked interest and speculation among market analysts.

Typically, when large entities sell off assets, they follow it with some level of buyback within the same period. However, in this case, there has been no indication of a buyback, which could have otherwise stabilized the market. Despite this, the asset has managed to hold its price levels, suggesting underlying bullish sentiment.

According to the analysis, PEPE’s price has rallied by 8% over the last 24 hours, which could signal the beginning of a more significant upward movement. The short-term outlook for PEPE, using the 4-hour chart, reveals that the asset has been trading within a symmetrical triangle pattern. This bullish formation could push PEPE up by 12.24%, potentially reaching $0.00001541.

A broader outlook using the 1-day chart shows PEPE trading within a cup-and-handle pattern, another bullish precursor. For PEPE to rally by 91% to $0.00002836, it must breach the black resistance line at $0.00001483. This level was last seen in December 2024, indicating a potential significant price movement if the resistance is broken.

The key question now is whether PEPE can gather enough momentum to break through that resistance. At the time of writing, the momentum appeared to be growing across both the spot and derivatives markets. In the spot market, buying interest has been gradually building up again, with $335,000 worth of PEPE purchased so far. In the derivatives market, the OI-weighted funding rate stood at 0.0127%, confirming the presence of bullish sentiment.

If momentum continues to climb across both market segments, PEPE could see a notable rally. By doing so, it could hit its short-term target and approach its long-term goal. The resilience shown by PEPE despite the significant sell-off suggests that the market may be underestimating the asset's potential for growth. The bullish patterns observed in both short-term and long-term charts further support this optimistic outlook.