Pepe (PEPE) has been exhibiting an upward trend after the recent market fluctuations. PEPE’s price increased by 2.4% on Thursday to $0.00001161, making it one of the top performers in the meme coin revival. This bullish momentum comes during a time when the broader market has suffered massive losses.

Furthermore, PEPE's 24-hour trading volume has decreased by 33.36% to $647 million. This decline suggests a decreased market trading and investor participation. The flag pattern seen in the price chart of PEPE may indicate further upward movement since a breakout from this pattern typically leads to the continuation of a bullish trend.

PEPE Technical Analysis Supports Bullish Outlook

Through PEPE's technical analysis, one significant pattern has emerged that could possibly propel more increases. In the last three weeks, PEPE corrected in two descending trendlines, which created a flag formation.

This pattern normally leads to a short-term reversal against the trend, enabling the bulls to regain their strength before the next upward move. In this period, the price of PEPE declined 40%, to $0.00000968 from the initial price of $0.00001725.

However, PEPE was able to hold its ground above the flag pattern's lower trendline. This resilience indicates that the price may reverse and possibly break the upper trendline. A successful breakout would confirm the buy signal and open the way to at least a 40-45% advance and a test of the previous high at $0.00001725.

Whale Activity and Market Sentiment

Whale activity has also impacted the price of PEPE in recent days due to their activity. According to Lookonchain, a large crypto investor, a whale, transferred about 407.74 billion PEPE tokens to Binance, which is equivalent to $4.27 million.

This transaction was conducted at breakeven that is the whale is quite passive about the future price dynamics. However, the general perception of the market about PEPE is still quite positive with a large number of investors expecting a huge rally.

The technical analysis is also in line with this bullish sentiment as on-chain data also indicates the same. The part of the stable supply controlled by whales has risen to 52%, which may mean that large investors exert much influence over the market. This build up can be used as a base for future price hike up. Furthermore, the whale transaction count of PEPE has increased, which implies that key investors are engaged and bullish on the market.

Key Resistance Levels and Potential Reversal

At present, the price of PEPE is approaching important resistance levels that will define its future direction. The price recently found resistance at $0.0000124, which is currently a crucial level of support. If PEPE climbs above this level, the bearish outlook would be negated, and the price could climb as high as  $0.0000152 or even more than 20% higher.

Furthermore, the stochastic Relative Strength Index (RSI) shows that PEPE is oversold and may, therefore, experience a price reversal. This technical indicator, the increased whale activity, and the higher long positions to short positions also indicate more bullish pressure.

However, if the price fails to close above $0.000013 by the end of the week, the consolidation phase may continue for a longer period. If the bearish pressure continues, the PEPE price may continue to decline to the $0.00000903 level or even to the $0.0000076 level.