TLDR:
- PEPE price stabilizes at $0.00001 as TD Sequential prints a buy signal on the daily chart.
- RSI recovery from oversold zone signals possible short-term relief for PEPE traders.
- Failure to hold $0.00001 risks deeper losses toward $0.00000880 or lower support zones.
- Breakout above $0.0000125 could open upside targets near $0.0000138 and $0.000015.
Pepe is hanging on at a crucial level. The price has dropped sharply, but some traders are spotting a potential setup for a short-term rebound. A key indicator known as the TD Sequential is now flashing a buy signal.
At the same time, support around $0.00001 is holding for now. The next few sessions could decide whether the token recovers or sinks lower.
TD Sequential Flashes Buy Signal
Analyst Ali shared that PEPE’s daily chart now shows a TD Sequential buy signal. This tool counts a series of price bars to spot trend exhaustion. When the count completes, it often hints that selling could pause, giving way to a bounce.
$PEPE could be gearing up for a rebound as the TD Sequential flashes a buy signal on the daily chart! pic.twitter.com/SaCRD55wyw
— Ali (@ali_charts) August 5, 2025
Despite this, the market remains cautious. According to CoinGecko, PEPE trades at $0.00001004, down 4.98% in 24 hours and 13.04% in a week.
Veteran trader Matthew Dixon noted that PEPE reversed sharply in mid-July after a bearish divergence between price and the Relative Strength Index. He explained that this signaled fading momentum. Dixon outlined two scenarios. Either PEPE is finishing an ABC corrective pattern or it is in a 1-2-3 bearish impulse that could extend.
For now, PEPE sits inside a tight support band between $0.00001 and $0.0000095. A break below this range could accelerate losses toward $0.00000880 or even $0.00000820.
PEPE Oversold Conditions Offer Relief
Dixon added that RSI recently bounced from oversold levels near 30 and is now around 42. However, no bullish divergence has formed yet, meaning any rebound may remain short-lived unless fresh signals appear.
We have Bearish Divergence where price made a higher high around mid July & RSI made a lower high at the same point.$PEPE price reversed sharply downward after divergence – confirming a loss of momentum.
ABC or 1-2-3 Correction is in progress
Either, A-B-C correction standard… pic.twitter.com/julgXUeaqf
— Matthew Dixon – Veteran Financial Trader (@mdtrade) August 5, 2025
If buyers manage to reclaim $0.0000115 to $0.000012, it could trigger a stronger push higher. Targets above this zone include $0.0000138 and $0.000015 if the corrective wave ends.
For now, traders are watching the $0.00001 level closely. Any failure here could leave the door open for deeper losses. A confirmed move above $0.0000125, on the other hand, would strengthen the bullish case.
Until then, the market remains uncertain. PEPE’s next move depends on whether the buy signal from TD Sequential finds enough backing from real demand.
