The popular meme token PEPE has entered overbought territory, with its relative strength index hitting 71 — a level that often precedes a price pullback. The token is currently trading above its Bollinger Band resistance at $0.00000105, a technical setup that historically signals an imminent reversal.
Technical Indicators Flash Warning
PEPE's RSI reading of 71 crosses the threshold that traders typically treat as a sell signal. When an asset's RSI exceeds 70, it suggests buying pressure has pushed prices too high too fast, and a correction is likely. The token's price has also broken above the upper Bollinger Band, a volatility indicator traders watch closely. Trading above this band often means the move is overextended and due for a retracement.
Expected Pullback and Support Levels
Market observers expect PEPE to drop between 15% and 25% over the next seven to 14 days. The anticipated pullback would bring the token down to the $0.00000526 support level. That price point has acted as a floor in recent trading sessions and could absorb selling pressure.
Post-Correction Target Range
Once the correction plays out, analysts see PEPE potentially bouncing back to the $0.00000800-$0.00001000 range. That target zone would represent a significant recovery from the predicted low but still below the token's recent highs. Whether that rally materializes depends on broader market sentiment and whether new buyers step in after the shakeout.
For now, traders are watching whether the token can hold above the Bollinger Band resistance in the short term. A break below that level would confirm the pullback is underway. The next two weeks will likely determine if PEPE follows the textbook pattern or defies the technical signals.
