Date: Wed, May 14, 2025 | 10:10 AM GMT

The cryptocurrency market continues to build on its recent strength, with Ethereum (ETH) leading the charge. ETH has climbed more than 58% over the past month and is now trading above the $2,600 mark — its highest level in months. This resurgence is also helping to lift sentiment across major memecoins, including Pepe (PEPE).

$PEPE is currently showing impressive monthly gains of over 89%. But beyond price action, an important on-chain signal may be pointing to even more upside.

Source: Coinmarketcap

Short-Term Holder Activity Signals Potential Upside

According to the latest insights shared by Max, there’s been a noticeable uptick in short-term holder activity for PEPE. The latest chart highlights a clear rise in the number of wallets holding PEPE for less than 30 days — a strong sign that fresh capital and new participants are entering the market.

Historically, spikes in short-term holders (marked by green arrows on the chart) have consistently aligned with explosive rallies in PEPE. Notably, these surges occurred right before the massive +800% rally in February and the +200% jump in October 2024. Conversely, periods of declining short-term holder activity (red arrows) have often preceded local tops or periods of price stagnation.

Source: @MaxBecau (X)

Currently, we’re witnessing a new upward trend in short-term holder count, just as PEPE breaks out of a prolonged 4-month downtrend. This rise from a relatively low base echoes the pre-rally setups of early 2024 and may indicate that PEPE is gearing up for another significant leg higher.

What This Means for PEPE

While nothing in crypto is guaranteed, the combination of bullish price action and rising short-term holder activity paints a compelling picture. Increased speculative interest typically fuels rapid moves in memecoins, and PEPE seems to be benefiting from that dynamic once again.

Should Ethereum continue its upward trend and memecoins remain in favor, PEPE could be well-positioned to retest its previous highs — or even chart new ones.

For now, on-chain data is flashing green. Traders and investors keeping an eye on speculative momentum may find PEPE’s current setup too interesting to ignore.

Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.