- Despite Robinhood’s $15 million PEPE sell-off, the memecoin has surged over 5%, supported by rising open interest, positive funding rates, and strong technical indicators.
- Market sentiment remains bullish, with potential for a double-digit rally if key resistance levels are breached.
Despite a massive $15 million sell-off by Robinhood, optimism is returning for PEPE holders. The frog-themed memecoin surged over 5% on Wednesday, bouncing off a crucial support level and defying bearish expectations triggered by the whale offload. Market data reveals that trader sentiment remains bullish, with technical indicators pointing toward a potential double-digit rally.
On-chain data from Coinglass shows a significant uptick in Open Interest (OI), which climbed from $530 million on Tuesday to $599.98 million by Wednesday. This increase indicates new capital entering the market, reinforcing the view that traders are positioning for further upside.
Alongside the OI spike, the funding rate flipped positive to 0.0013%—a sign that more traders are going long on PEPE. Historically, such flips have preceded sharp price rallies, notably on May 8.
The technical outlook further supports a bullish narrative. On the weekly chart, PEPE has successfully retested its key support level at $0.0000125, currently trading around $0.0000139.
If this level holds, bulls could push the price toward the 50% Fibonacci retracement level at $0.0000168, approximately 30% above current levels. The Relative Strength Index (RSI) reads 57, indicating bullish momentum, while the MACD shows a sustained bullish crossover and rising histogram bars.
In the shorter term, the daily chart reveals a similar story. PEPE continues to find solid footing around $0.0000130, with price action forming the basis for a climb toward the next resistance at $0.0000165. While the daily MACD suggests market indecision, a bullish crossover could strengthen the case for further gains. The RSI at 66 still leaves room for upward movement before overbought territory is reached.
Robinhood’s PEPE Dump
Adding intrigue to the rally is Robinhood’s recent $15 million PEPE dump, which unusually lacked an accompanying buyback. While such a sell-off would typically drive prices downward, PEPE has instead shown resilience, gaining 8% over the last 24 hours and maintaining strong support levels.
Even after the sell-off, Robinhood remains PEPE’s second-largest holder, controlling 3.67% of the total supply—worth over $209 million.
Chart patterns also suggest bullish momentum is building. The 4-hour chart shows a symmetrical triangle formation, hinting at a 12.24% price breakout toward $0.00001541.
On a larger scale, the daily chart reveals a cup-and-handle formation, which, if confirmed, could send PEPE soaring by 91% to $0.00002836—a level last touched in December 2024.
Market activity across both spot and derivatives markets further bolsters the bullish case. Over $335,000 in PEPE was recently bought in the spot market, while derivatives data showed an elevated funding rate of 0.0127%, signaling strong investor confidence.
Despite the shadow of Robinhood’s heavy sell-off, PEPE appears to be gaining bullish traction. With strong technical indicators and rising market interest, a sustained rally may be on the horizon for hopeful PEPE holders.