PEPE surged by 16%, reigniting excitement in the crypto space as traders wonder if this spike is the precursor to an altcoin season. With a market cap of $4.74 billion, the meme coin is showing signs of leading the charge, though its overbought status could trigger a pullback.

The price of Pepe (PEPE) exploded back up to levels not seen since the tail end of August as we approached the weekend.

PEPE Sees Massive Price Surge Over 15%

With a daily gain of more than 15%, the frog-themed meme coin was trading around the $0.00001127 region at 6:00 AM UTC. This followed a day in which, according to Blockzeit, the token's price fluctuated by almost 16%, going from a low of $0.000009841 to a high of $0.0000115.

With the transfer of almost $1.4 billion worth of PEPE between addresses in DeFi wallets, the digital asset's trading volume increased at the same rate. With these new additions, the market capitalization of the cryptocurrency has reached $4.74 billion, based on its 420.69 trillion circulation supply.

PEPE Gains 39.50% in a Week, 44.50% in a Month

It is worth noting that PEPE showed significant improvement over the longer periods. Every week it increased by 39.50%, every month by 44.50%, and every year by $1,437.80.

Just four months ago, at $0.00001718, PEPE reached its all-time high. To meet its previous highs, it will need to rise by 52.44% at the current rate.

Technical Analysis Shows PEPE Still a Strong Buy

Despite the substantial increase, PEPE is still recommended as a "Strong Buy" in TradingView's daily chart-based technical analysis, which takes into account multiple oscillators and moving averages. As for the one-week and one-month time frames, it shows "Buy" instead.

Unfortunately, the meme coin has already been overbought according to the daily relative strength index (RSI) value of 74 based on price movements. This means that if PEPE doesn't keep its positive momentum going, the asset can be in for a short-term correction or decline.

Meme Coin Season on the Horizon?

A new altcoin season or meme coin fever may be just around the corner, according to analysts who have been following recent developments. Ali Martinez, better known by his X handle @ali charts, is a prominent cryptocurrency trader who agreed.

Martinez recently noted that, with the exception of Ethereum (ETH), cryptocurrencies have been seeing an increase in their overall market cap. They were about to break out, he remarked at the moment.

Martinez made the comment that the pattern was "definitely a good start," even though he wasn't sure if the crypto market was in the midst of an altcoin season or not.