Pepe is showing signs of strength as it forms a potential higher low at key support. With dynamic support intact and multiple confluences, a bullish reversal may be brewing. Despite broader market volatility, Pepe ( PEPE ) is showing early signs of a potential bullish reversal. The price action has respected a key dynamic support zone while simultaneously retesting a bullish order block that previously acted as resistance. These technical signals, combined with the 0.618 Fibonacci retracement level, suggest that Pepe may be forming a higher low, a structurally bullish sign if confirmed in the coming sessions. Key technical points Dynamic Support Holding: Price has formed consecutive higher lows along a rising trendline. Bullish Retest of Order Block: Rejection from value area high has led to a healthy pullback to a former resistance zone, now acting as support. Confluence with 0.618 Fibonacci: Further validates the support zone for a potential bounce. PEPEUSDT (4H) Chart, Source: TradingView After recently rejecting from the value area high, Pepe rotated back into a structurally significant support zone, a bullish order block that previously served as resistance. This pullback can be interpreted as a bullish retest unless invalidated. The rejection from the value area high was not followed by aggressive selling, suggesting buyers are still active and defending key zones. Supporting this bullish thesis is the presence of a dynamic ascending support line that has been respected since the last swing low. Each corrective move has found buyers along this trendline, and the most recent dip has once again tested this level. This repeated defense reinforces the higher low narrative, keeping the bullish structure intact. You might also like: Ethereum price action confirms bull trap at $2,550: major support level lost Adding further weight to this zone is the 0.618 Fibonacci retracement level, which aligns closely with both the bullish order block and the dynamic support line. This triple-confluence zone forms a strong technical foundation for price to bounce. If Pepe holds above this cluster of support, the odds of a bullish rotation toward the previous swing high increase substantially. While the overall market may remain in a corrective phase, Pepe’s localized structure remains intact. This suggests the altcoin is in a healthy consolidation within a broader uptrend, as long as price remains above the dynamic support. A breakdown below this level would invalidate the bullish setup, but for now, the trend structure remains positive. What to expect in the coming price action If Pepe holds above the dynamic support and confirms a higher low, expect a potential rotation toward the previous swing high. A breakdown of this level, however, would shift the structure to neutral or bearish. Read more: Why are Bitcoin and altcoins going down today?
