Whales Accumulate Billions of PEPE Coin Tokens as Market Sentiment Remains Cautious

Recent blockchain data highlights significant whale activity in the PEPE coin market, with two prominent addresses acquiring over 480 billion tokens within a 24-hour span.

Two prominent blockchain addresses have acquired over 480 billion PEPE coin tokens within a 24-hour span, recent blockchain data highlights this activity. These buys come as the PEPE price is near its monthly lows, suggesting rising bullish interest amid a weak market.

One whale, identified as “0x8f5,” notably had a strong presence in meme coins, evident in their previous amassment of 47.4 million $JASMY tokens, which were valued at $1.54 Million at the time of purchase. This whale's transaction suggests a keen focus on meme coins rather than smaller altcoins.

Meanwhile, another whale, wallet “0xb1a,” made a substantial move by purchasing 200.4 billion PEPE coin tokens for $3.72 Million in the last 30 minutes. This address is known for its prior PEPE coin transactions; it had incurred a $1.45 Million loss on its trades before pivoting to another round of purchases.

At present, PEPE crypto is priced at $0.00001722, marking a 25% drop over the past week and a 40% decline over the last month. This follows a significant selling event from the previous week.

Despite the large purchases by major holders, market sentiment remains cautious, with short positions continuing to dominate, although long leverage positions have increased. Still, technical indicators suggest a more bearish trend, even as some traders show renewed interest in the asset.

As the new week begins, Bitcoin price movements are attracting attention with a brief dip below $89K, followed by a quick recovery above $95K, sparked by strong buying activity. This whipsaw action comes as traders speculate on the market manipulation claims, which saw Bitcoin prices briefly drop.

However, this sudden movement raised suspicions of market manipulation by large players. This is evident in the slight recovery of both Bitcoin and PEPE prices.

The ongoing bearish pressure on PEPE coin suggests that many traders are scaling back their exposure to high-risk meme coins in the face of broader market instability. Meanwhile, large whales seem to be capitalizing on the situation.

As the whales are taking advantage of the price dips to position themselves for potential long-term gains.

Concerns over tightening financial conditions and reduced liquidity have prompted many risk-averse traders to scale back on high-risk assets like PEPE crypto. This has intensified bearish pressure, with some short traders worsening the situation.

According to the 7-day chart, it is been evident that these traders wanting PEPE coin to fall more. They have strategically increased their leverage to capitalize on the prevailing bearish market sentiment.

Similarly, it is also evident that the drop in the PEPE price closely aligns with broader downturns in the cryptocurrency market. That seems to be driven by growing macroeconomic uncertainty.

But, bearish traders have significantly increased their positions, deploying $28.19 Million in leverage, betting on further PEPE coin price declines. On the other hand, there is a sharp contrast to just $7.40 Million in long positions, which are hoping for a market rebound in 7-day chart.

Likewise, this heavy focus on short positions is the reason why PEPE crypto has dipped so low this month. It also highlights that many traders are leveraging aggressively in anticipation of sharp falls in the PEPE price.

However, the recent whale accumulation has sparked some intraday optimism. Continued accumulation could potentially shift the market dynamics.

As seen on the 1-day chart, the bulls are currently in a more favorable position, with $11.43 Million in long liquidations, outpacing the $6.14 Million in short positions.

If bulls overcome the short leverage seen on the 7-day chart, it could ease the bearish pressure and allow bulls to regain control.

Despite Massive Whale Accumulation, PEPE Price Technicals Shows Strong Bearishness

Despite recent whale purchases, PEPE coin price has only risen by 2%, and it continues to hover near the neckline of a bearish pattern. Following Bitcoin’s correction from its mid-December 2024 peak of $108K, PEPE price has mirrored the downturn.

Amid the price action build-up, the downturn faced significant resistance from a dynamic declining trendline. Thefore, the bearish pressure from the trendline explains the head-and-shoulders pattern.

Notably, in this pattern, if the neckline is breached, a further decline is anticipated further. That fall could take the PEPE coin towards the initial target at the 200-day EMA at around $0.00001414. Should this level fail to hold, the next key support is at $