Pepe (PEPE) memecoin records a significant spike in whale activity

Pepe (PEPE) memecoin recorded a significant spike in whale activity throughout this week, signaling a potential change in direction in the price trend

Pepe (PEPE) memecoin saw a huge interest from bigger investors throughout this week, signaling a potential change in direction in the price trend after experiencing a sharp decline since the beginning of the year.

Despite losing more than 80% of its peak value last December, a 63% recovery in March sparked questions as to whether heavy interest from institutional investors could be the key to the token’s revival.

Spike in Whale Activity and its Impact on Prices

According to data from Spot On Chain, one new wallet was recorded withdrawing 500 billion PEPE worth about $4.3 million from Binance. In addition, an early investor who previously made a 110% profit from PEPE reportedly re-entered the market by withdrawing 506.2 billion tokens worth $4.4 million, making his total investment around 699.8 billion tokens or the equivalent of $5.11 million (Rp84.9 billion).

This had a significant impact on the price of PEPE, which surged by 63% from its March low of $0.0000056. However, the token is still a long way off its high of $0.000028 (€0.465) reached last December.

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Market Signals Are Still Mixed

Although the increase in whale activity reflects short-term optimism, data from Santiment shows that key demand indicators such as social volume and wallet address activity are still low. Market sentiment also returned to the neutral zone after a brief uptick, signaling that the direction of price movement remains uncertain.

In the derivatives market, PEPE ‘s Open Interest (OI) rose from $26 million to $50 million before dropping slightly to below $45 million. However, the Cumulative Volume Delta (CVD) showed little movement, hinting that the price surge was largely driven by leverage rather than real demand in the spot market.

Technical Analysis: Not Out of Risk Zone Yet

On the three-day price chart (3D), the 63% gain in March managed to cover all of PEPE’s losses during the month. However, the price is still below the bull market trend line and the 200 daily moving average (200DMA). This suggests that although a recovery is in sight, the technical pressure has not yet been fully overcome.

In order to break out of the larger downtrend in the first quarter of 2025, the price of PEPE will need to break both major resistance levels. If it does, it’s likely that the token could regain the attention of investors who previously avoided high-risk assets like memecoins.

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