PEPE Price Dips 10%: Healthy Pullback or Start of a Bigger Correction?

• PEPE Coin fell over 10% in the past 24 hours, dropping from $0.00001519 to around $0.00001360.
• Despite the correction, the broader trend remains bullish. The dip may be a healthy “higher low” if support holds.

After a strong upward run, PEPE Coin has taken a breather, pulling back from recent highs as traders eye critical support zones. The popular meme coin faced a sharp dip over the last 24 hours, with its price falling by more than 10% from an intraday high of $0.00001519 to a low near $0.00001360. At the time of writing, PEPE is trading around $0.00001400.

Despite this recent drop, analysts suggest the overall trend for PEPE remains bullish—at least for now. Many traders are viewing this dip as a potential “higher low,” a common pattern in healthy uptrends, where a pullback simply sets the stage for another leg higher. However, for that bullish momentum to resume, the price needs to hold above key technical levels.

Break Below Ascending Channel Sparks Concerns

Zooming in on the four-hour chart, PEPE recently slipped out of its ascending price channel that had supported its rise over the past month. The coin fell below the 23.6% Fibonacci retracement level at $0.00001456, which has sparked concerns among short-term traders. If this correction continues, the next key levels to watch include $0.00001335 (38.2% Fib level), $0.00001237 (50%), and the “golden pocket” support around $0.00001139, which often acts as a strong bounce zone.

(Source: TradingView)Technical indicators are also hinting at weakness. The Relative Strength Index (RSI) on the four-hour chart has dropped to 48, its lowest reading since late April, indicating that the bullish momentum is cooling. Meanwhile, the MACD (Moving Average Convergence Divergence) has just flipped into bearish territory, showing increasing selling pressure with a growing negative histogram.

Adding to the pressure is the overall market volatility. The entire crypto market saw wild price swings after Bitcoin briefly touched a new all-time high near $112,000 before quickly plunging to around $107,000. This sudden drop spooked investors and caused pullbacks across several altcoins, including meme coins like PEPE.

In terms of market metrics, PEPE’s market cap fell by roughly 5%, now sitting at around $45.88 billion. Daily trading volume also took a hit, dropping nearly 33% to $1.76 billion. The decline in volume suggests traders may be taking a wait-and-see approach before making their next move.

Key Support and Resistance Levels to Watch

Despite the pullback, PEPE still holds onto strong community interest and speculative momentum. Bulls are keeping a close watch on whether the price can reclaim the $0.00001456 level. A move back above this point could indicate that the recent breakdown was temporary, possibly paving the way for another attempt at the recent high of $0.00001600.

For now, PEPE finds itself in a tricky spot—caught between weakening short-term momentum and the possibility of a broader bullish continuation. Whether this correction is just a pit stop or the start of a deeper retracement will likely depend on how the price behaves around its current support levels in the coming days. The key support levels to monitor include $0.00001335, $0.00001237, and $0.00001139, which represent important Fibonacci retracement zones that could offer buying interest if the decline continues.