Date: Wed, June 25, 2025 | 05:50 PM GMT
The cryptocurrency market is showing strong signs of recovery as tensions between Israel and Iran ease. Ethereum (ETH) has rebounded sharply, jumping from its recent low of $2,113 to climb above the $2,420 level.
Among memecoins , Pepe (PEPE) is currently trading in the red, but beneath the surface, something interesting may be brewing. On the lower time frame, its chart is flashing a potentially bullish signal — the emergence of a “Power of 3” setup, a pattern often associated with smart money accumulation and explosive breakout moves.
Source: Coinmarketcap Power of 3 Pattern in Play
On the 1-hour chart, PEPE is forming what looks like a textbook “Power of 3” setup. This formation includes three classic phases:
Accumulation Phase
PEPE traded in a tight range between $0.00001018 (resistance) and $0.00000980 (support). This sideways zone likely represented accumulation by larger players, as volatility remained low for an extended period.
PEPE 1H Chart/Coinsprobe (Source: Tradingview) Manipulation Phase
Earlier today, PEPE sharply broke below the support level, dipping to around $0.00000956. This fakeout or “stop hunt” move is often intended to shake out retail traders and trap early shorts — a hallmark of the manipulation phase.
What’s Next for PEPE?
Currently, PEPE is trying to stabilize around the $0.00000960 zone. If the price reclaims $0.00000980, it could signal the start of the expansion phase — the most important leg of the Power of 3 structure. A confirmed breakout above the $0.00001018 range high would validate the full bullish setup.
If this formation completes successfully, PEPE could climb toward a short-term target of $0.00001086, which would mark a 13% gain from current levels.
While the setup is promising, PEPE remains in the early recovery stage. It’s critical to see how price behaves near the reclaim zone ($0.00000980). A failure to bounce from here could delay the bullish confirmation.
Disclaimer: This article is for informational purposes only and not financial advice. Always do your own research before investing in cryptocurrencies.
