Pepe (PEPE) has exhibited substantial growth in the digital currency sector, positioned as the 28th cryptocurrency based on market capitalization on platforms like CoinGecko and securing a spot in the top 50 on CoinMarketCap. As of June 1, PEPE has achieved a market cap exceeding $6 billion.

Throughout the previous month, PEPE experienced a remarkable surge of 107%, surpassing both the general market performance and other meme coins. This outstanding achievement propelled PEPE above key indicators such as the 50, 100, and 200-day exponential moving averages (EMAs), signaling a robust bullish trend.

Despite the impressive gains, PEPE, alongside its meme coin counterparts, remains inherently volatile. Analysts have identified signals pointing towards a potential price correction in the immediate future.

Analyst Ali Martinez has identified bearish indications, noting that PEPE's daily Relative Strength Index (RSI) has crossed the 70-mark, suggesting an overbought level that frequently precedes price corrections or consolidations. When the RSI exceeds 70, the likelihood of a sell-off escalates. Yet, markets can linger in the overbought zone for extended periods, enabling prices to continue ascending.

Analyzing IntoTheBlock data, a bearish sentiment emerges as June unfolds. The RSI heat map depicts PEPE at a 'strong' level with a prospective 'sell' signal. Furthermore, PEPE's historical correlation with major cryptocurrencies like Bitcoin (BTC) and Ethereum (ETH) has predominantly exhibited a negative trend since its inception.

Looking forward, the outlook for PEPE in the cryptocurrency realm appears promising. Despite its volatility, the substantial gains and solid market positioning underscore the potential for further expansion. Investors are advised to remain vigilant and informed, yet current trends suggest that PEPE could sustain its significance within the crypto landscape.