PEPE at Crossroads: $0.0004 Support Holds Key to 500% Rally or 75% Collapse

As of December 5, 2025, the price of Pepe (PEPE), the popular meme cryptocurrency, stands at a critical technical juncture that could determine its trajectory for the coming months. The digital asset is currently testing the crucial $0.0004 support level, a zone that analysts are watching closely as it represents both a potential springboard for a significant upward move and a dangerous cliff edge for a steep decline. This pivotal moment follows a notable breakdown from a long-term ascending triangle pattern in November, a pattern that had been developing over the preceding 19 months. The market sentiment is highly charged, reflected in a substantial 50% surge in open interest, which has ballooned to approximately $249 million. This indicates that traders are placing aggressive, Leveraged bets on the coin's next major directional move. Compounding the technical tension is the potential formation of a head-and-shoulders pattern on the charts, a classic technical analysis structure often associated with trend reversals. The confluence of these factors—the key support test, the broken long-term pattern, soaring open interest, and a looming bearish reversal pattern—creates an environment of extreme volatility and opportunity. The projected outcomes are starkly binary: a successful hold and bounce from the $0.0004 level could fuel a parabolic rally with a target gain of up to 500%. Conversely, a decisive break below this support could trigger a cascading sell-off, potentially erasing up to 75% of the token's value from current levels. The coming days are therefore critical for PEPE holders and speculators, as the market prepares for a high-stakes resolution to this tense technical standoff.

Pepe Price at Critical Juncture: 500% Rally or 75% Collapse Looms

Pepe's price action has reached a decisive inflection point, with the $0.0004 support level serving as both a potential launchpad for massive gains and a fault line for catastrophic losses. The meme coin's 19-month ascending triangle pattern hangs in the balance after November's breakdown.

Market participants are placing aggressive bets as open interest surges 50% to $249 million. The looming head-and-shoulders formation threatens a 75% plunge to $0.000001 if neckline support fails. Yet preservation of this level could ignite a parabolic 500% advance, echoing Pepe's mid-2024 rally.

Technical analysts note the $0.0004 zone represents the last meaningful support before a dangerous liquidity gap. 'If this breaks down, it WOULD be really bad,' warns trader @AltCryptoGems, highlighting the pattern's bearish potential on social media.

PEPE Price Defies Bearish Pattern with 17% Bounce from Yearly Low

Pepe (PEPE) has staged a 17% rebound from its yearly low of $0.000004, challenging a nine-month head-and-shoulders pattern that previously signaled a 77% downside risk. The meme coin's resilience at this level suggests a potential double-bottom reversal, with technical indicators now favoring bullish momentum.

Despite the price recovery, on-chain data reveals sustained profit-taking pressure. A long-term holder recently liquidated their entire $3.5 million Pepe position on Coinbase, coinciding with the exchange's Chaikin Money Flow plunging to -0.3 - a strong indicator of distribution.

The divergence between price action and capital flows creates an unusually tense setup. Traders are watching for confirmation of either a descending channel breakout or a false rally, with the RSI's bullish turn adding credence to the upside scenario.

Pepe Memecoin Website Compromised in Front-End Exploit

The official website for PEPE memecoin has fallen victim to a front-end attack, with cybersecurity firm Blockaid identifying malicious code from the Inferno Drainer toolkit. The breach redirects users to phishing pages designed to steal wallet credentials and drain assets.

PEPE's price showed minimal reaction, gaining 0.87% in 24 hours despite the security incident. The token remains down 77% over the past year, reflecting broader memecoin market struggles.

This incident underscores persistent security vulnerabilities in crypto projects, particularly among meme-based tokens. Investors face growing risks from sophisticated phishing schemes as attackers increasingly target front-end infrastructure.