Pepe Whale Accumulates 309.6B Tokens, Signals Market Confidence

After Coinbase listed Pepe [PEPE] nine days ago, the memecoin surged to a new ATH of $0.00002524, continuing its monthly bullish trend with a 117.80% increase.

After listing Pepe [PEPE] nine days ago, the memecoin has surged to a new ATH of $0.00002524. This continues PEPE’s monthly bullish trend, with a 117.80% price increase.

Since then, PEPE declined to a low of $0.00001807. This dip created a buying opportunity for both retailers and whales. Anticipating further price gains, whales are now buying the dip.

Pepe whale accumulates 309.6B tokens

According to on-chain tracker SpotOnChain, a new whale entered the market to make a large purchase. This whale created a wallet over the past hours and withdrew 309.6 billion Pepe tokens, valued at $6.45 million, from Kucoin.

When whales accumulate, it signals confidence in the market direction. Also, such huge funds inflow creates buying pressure, which can lead to price appreciation.

Impact on Pepe’s charts?

As expected, PEPE surged by 1.85% over the past day. Before this, the memecoin had seen a downward trajectory, dipping by 1.40% on weekly charts.

However, as the memecoin had dropped from a high of $0.0000218 to $0.0000198, it’s safe to say, that bulls are trying to regain control.

But other market indicators suggested that the memecoin could see some more decline before these bulls regain control.

Source: TradingView

For instance, PEPE’s Relative Strength Index (RSI), which hit overbought territory a week ago, declined to 70. This level still indicates overbought territory, and the market is likely to face a correction.

This was visible as the memecoin’s Moving Average flipped to 74. Moreover, the memecoin’s ADX showed that the uptrend was exhausting, and the downward momentum was building.

This surged from 35 to 42, indicating that sellers were entering the market.

Source: Santiment

PEPE’s NVT Ratio (with circulation) surged from 41.89 to 89.45. This high NVT ratio suggested Pepe may be overvalued, as its price growth isn’t matched by network activity.

Thus, the price increase isn’t accompanied by meaningful growth in on-chain activity, often signaling speculation rather than utility.

Source: IntoTheBlock

We can see this lack of utility and reduced on-chain activity through reduced active addresses. According to IntoTheBlock, active addresses dipped from 23.63K to 15.16K over the past week.

Such a sharp decline in address indicates reduced participation, suggesting that the price rally isn’t supported by fundamentals.

Pepe’s next move

In summary, although the memecoin made moderate gains on daily charts amidst this whale accumulation, PEPE is still in a corrective wave.

Therefore, the current conditions could see PEPE decline. If so, the memecoin could drop to $0.000018 and might decline further to find support around $0.00001578.

Afterwards, if the attempt by whales results in considerable buying pressure, PEPE could reclaim $0.000022. A breakout from here could see the memecoin hit a new ATH, as resistance above here is minimal.