Pepe (PEPE) Flashes Rare Double Buy Signal as Exchange Outflows Ease Selling Pressure

Pepe (PEPE) is showing early signs of a possible trend reversal after weeks of steady declines, with technical indicators and on-chain data hinting at a potential shift in momentum.

TD Sequential Signals Point to Exhaustion in Downtrend

On the daily chart, the TD Sequential indicator, a widely followed tool for spotting trend exhaustion, has flashed back-to-back buy signals for PEPE. Such double confirmations are uncommon and are often interpreted as a sign that selling pressure may be weakening.

While this does not guarantee an immediate rebound, it underscores an elevated probability of a near-term reversal if buying activity strengthens. Traders are now watching whether PEPE can build on this signal with sustained demand from market participants.

Price Holds at Key Demand Zone

At present, PEPE is consolidating near a crucial demand zone that has historically provided reliable support during previous sell-offs. The token is hovering close to $0.000009, with analysts suggesting it could still test support near $0.00000885 before a stronger rebound emerges.

If this level holds, upside targets for PEPE remain in focus at $0.00001251, $0.00001420, and $0.00001550. However, a breakdown below support would expose the asset to fresh volatility, potentially dragging it toward lower lows in the short term.

Exchange Outflows Signal Confidence

Adding to the bullish narrative, on-chain data shows that more than $2 million worth of PEPE has recently left centralized exchanges. Such outflows typically reduce immediate selling pressure, as tokens moved into self-custody wallets are less likely to be liquidated quickly.

This trend not only lowers available supply on order books but also indicates greater investor confidence in holding the asset. Should demand strengthen, the reduced sell-side liquidity could fuel sharper price moves to the upside.

Market Sentiment Remains Fragile

Despite these positive developments, traders remain cautious. A reversal in flows back to exchanges could quickly shift momentum, increasing the risk of renewed sell-offs. Moreover, Pepe’s elevated Network Value to Transactions (NVT) ratio suggests that the token may still be overvalued relative to its current activity levels, calling for short-term caution.

Still, with technical buy signals aligning with supportive on-chain patterns, PEPE is at a pivotal juncture. Whether the meme-inspired token can convert this setup into a sustained rally will depend on how long whales and retail holders keep supply away from exchanges, and whether broader market sentiment stays supportive.