The PEPE cryptocurrency has, at the time of writing, surged an impressive 37% in value from the recent lows, showing some remarkable resilience as the broader crypto market also recovers. This significant PEPE price rebound coincides with Bitcoin’s bounce from $76K to nearly $85K in value, which has catalyzed some renewed interest in major memecoin segments across trading platforms. And it’s pretty interesting to see how these memecoins are actually performing right now after such a difficult period. Also, many traders have been watching PEPE quite closely in recent days, especially after its dramatic fall from those December highs.

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Can PEPE’s Price Rebound Continue Against Market Volatility & Resistance?

Pepe the frog on a pile of money
Source: Watcher Guru

The Frog Token’s Recovery Trajectory

The popular frog-themed PEPE token suffered an 80% value decline since reaching $0.000028 in December 2024. Such a dramatic drop has effectively erased all 260% gains that were accumulated during what traders commonly refer to as the ‘Trump pump’ period, subsequently pushing prices below November levels.

PEPE/USDT price chart showing the 37% rebound from lows with resistance levels marked
Source: TradingView

Support has been established above the $0.0000050 zone, which previously served as a bottom in early 2024. During that cycle, PEPE consolidated below $0.0000080 before eventually doubling to $0.000016 by May. And this pattern seems to be repeating itself somewhat at the moment. Also, many traders are looking at these historical support levels as significant indicators for what might happen next. Right now, several key technical indicators, including rebounding RSI and OBV readings, suggest this upward momentum for PEPE might continue through numerous significant market phases.

Several hurdles stand in PEPE’s path to further recovery. The $0.0000080 level represents a significant breaker block resistance, while a downward trendline adds another layer of difficulty for buyers attempting to leverage the PEPE price higher across various trading platforms.

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Market Conditions Favor Further PEPE Gains

Funding rates for PEPE remain in negative territory according to Coinglass data, indicating the market isn’t overheated at this moment. This absence of any excessive leverage reduces the liquidation risks and could also provide room for some additional PEPE price appreciation through multiple essential market mechanisms.

Funding Rate Heatmap showing negative funding for PEPE
Source: Coinglass

Analysis reveals significant liquidity pockets below the current price at $0.0000065 and $0.0000068. Above the trading range, only one major liquidity zone exists around $0.0000073-$0.0000074, which is also worth noting. These strategic liquidity structures have catalyzed various major price movements across multiple trading platforms, potentially accelerating PEPE’s trajectory through several key technical phases.

This distribution pattern suggests price action driven by liquidity hunting could initially see a slight dip toward $0.0000065. However, any movement triggering a short squeeze above $0.0000074 might propel PEPE toward the immediate resistance at $0.0000080 through various key market dynamics.

Risk Factors for PEPE’s Recovery

Despite some positive short-term indicators for PEPE cryptocurrency, several risk factors remain relevant still. The inherent volatility of cryptocurrency markets means renewed weakness in Bitcoin could quickly invalidate the bullish scenarios for PEPE and other altcoins. These market uncertainties have catalyzed various major risk assessment protocols across multiple institutional platforms, potentially transforming PEPE’s investment landscape through several key volatility patterns.

Liquidation map showing potential pressure points for PEPE price
Source: Coinglass

Technical analysis indicates potential for an additional 10% gain before PEPE encounters significant resistance at $0.0000080. At this level, price rejection becomes increasingly probable unless broader market sentiment improves substantially across several key trading sectors.

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The memecoin sector, where PEPE remains a key player, responds particularly sensitively to overall crypto sentiment. Recent bounces in key memecoin indices tracked by The Block showed an average 4% surge on daily charts, which suggests speculative interest is gradually returning to this market segment where PEPE has established significant positioning.

Historical patterns suggest PEPE’s recovery could extend even further, but traders should closely monitor those overhead resistance levels and also Bitcoin’s price action, which continues to drive overall market direction for PEPE and other cryptocurrencies. And it’s really important to understand how these correlation patterns work in the crypto market. Such technical analysis combined with overall market sentiment will likely determine whether this recovery has legs or if it’s just a temporary bounce.