- PEPE recorded a rise in interest in whales as prices fell
- Social volume and sentiment around PEPE also declined
Recently, Pepe [PEPE] surprised memecoin investors by rising significantly on the charts against all odds. However, the aforementioned surge was short-lived as the rally quickly came to a halt in recent days.
Buy whales at a discount
However, despite the price drop, whales remained confident in the popular memecoin. In fact, according to Lookonchain data, a whale bought 447.67 billion PEPE – worth $5.85 million – in recent days after the price of PEPE fell.
Source:
Here it is worth noting that it was not just one whale that behaved this way in isolation. AMBCrypto’s analysis of Santiment’s data revealed that the cohort of 10-10,000,000 holders grew significantly, indicating that whales are using PEPE extensively. This surge in whale interest could sooner or later translate into a positive price movement for the memecoin.
However, a high concentration of whales would come at the expense of the centralization of PEPE companies. As the percentage of PEPE owned by whales continues to increase, retail investors will become sensitive to volatile price movements caused by the behavior of these whales.
Source: Santiment
At the time of writing, PEPE was trading at $0.0000129. Over the past 24 hours, the price of PEPE has fallen by 10.06%. However, despite the significant price drop, the trend for PEPE has remained relatively unscathed. Since PEPE started rising after May 1, the price has reached multiple higher highs and lower lows – indicating a bullish trend. The price of PEPE would have to fall further before a complete turnaround can be expected.
The RSI (Relative Strength Index) for PEPE fell significantly – a sign that bullish momentum had waned significantly in recent days. On the contrary, the CMF (Chaikin Money Flow) for PEPE remained high – a sign of high capital inflows due to the recent whale behavior.
With enough whale accumulation and cash flow, PEPE holders could soon see the green again.
Source: trading view
The social corner
On a separate but related front, social volume also declined, indicating the token’s declining popularity. Coupled with this, weighted sentiment around the token fell, indicating a wave of negative commentary around PEPE.
These factors could prevent PEPE from seeing further growth on the charts.
Read Pepe’s [PEPE] Price forecast 2024-25
Source: Santiment
