The 82-year-old - who had a tumour removed from his colon in September 2021 - was admitted to the Hospital Israelita Albert Einstein in Sao Paulo on Saturday with a respiratory infection.
However, those symptoms and his general condition are improving.
"The patient continues to show progressive improvement in his general condition, in particular the respiratory infection," said a statement from the doctors treating him.
"He remains in a standard room, with stable vital signs, conscious and with no new complications."
On Monday night the Brazil players displayed a banner on the pitch in support of Pele as they celebrated their victory over South Korea to reach the quarter-finals of the World Cup.