As PEPE breaks out of a 4-hour descending wedge, the meme coin still trades under a long-term daily downtrend on its market-cap chart. Together, the two views show short-term bullish momentum pressing against a 1.93 billion dollar resistance wall.
PEPE holds above wedge retest zone on 4-hour chart
A crypto analyst from Decentralized Club says PEPE is trading in a bullish structure after breaking out of a descending wedge on the 4-hour PEPE/USDT chart. The post notes that the meme coin is now hovering near a retest area around the 0.0000098 level.
PEPE Wedge Breakout Setup. Source: DexlynLabs
In the update, the analyst explains that the breakout pushed price above the upper wedge trendline. Since then, PEPE has pulled back toward that same trendline, which now lines up with the highlighted support zone. As long as price continues to close above this band, the trader describes the bias as “strongly bullish.”
At the same time, the chart marks a potential upside target between 0.0000135 and 0.000015. The analyst adds that this zone becomes more likely if trading volume expands and confirms follow-through after the breakout. Until then, the focus remains on whether PEPE can keep holding the wedge retest area on the 4-hour timeframe.
Meanwhile, PEPE trades inside a long descending channel on the 1-day chart
Meanwhile, PEPE’s 1-day market-cap chart shows months of compression under a steady descending trendline drawn from the 2025 peak into mid-2026. The slope highlights a series of lower highs. This indicates that each recovery attempt since early 2025 has met overhead supply before pushing higher.
PEPE Market Cap Daily Downtrend Channel. Source: GalaxyBTC
At the same time, the graphic displays market-cap data at two key levels. First, the current cap reading sits near 1.93 billion dollars, up 6.35 million dollars, or 0.33 percent in 24 hours. Second, a broad horizontal support zone appears near the 1.54 billion-dollar line. This level aligns with earlier market-cap floors from mid-2025. The chart shows price repeatedly approaching this band but holding above it during pullbacks.
However, the diagonal trend does not flatten. Instead, it points toward deeper macro pressure as PEPE remains bound inside the descending channel. Additionally, the candles across late 2025 and early 2026 form a tightening range against that down-sloping line. This suggests ongoing momentum constraint on the daily time frame despite shorter-time-frame signals suggesting recovery.
Moreover, the support zone and the trendline cap create a clear structure. As a result, PEPE’s direction on the 1-day scale now depends on whether market cap rebounds strongly enough to reclaim and close above the descending line. Until then, the chart continues to frame PEPE under that down-sloping barrier while defending the 1.54 billion-dollar support.
Source: https://coinpaper.com/12681/pepe-explodes-out-of-wedge-but-can-it-smash-through-the-1-93-b-barrier
