- PEPE prices will rise when Spot Ethereum ETFs start trading
- Statistics pointed to a balanced market with a slight bullish tilt
Spot Ethereum ETFs have finally been approved in the United States. This major milestone is expected to reshape institutional interest in the world’s largest altcoin, while also potentially impacting the market values of memecoins such as PEPE.
Here’s a look at Bitcoin’s example worth checking out. Within weeks of a Spot Bitcoin ETF being approved, the cryptocurrency climbed to its latest ATH on the charts. Not only that, but its rise also affected other cryptos in the market, altcoins and memecoins.
In just 30 days, Spot Bitcoin Exchange-Traded Funds (ETFs) saw daily net inflows of approximately $125 million per day. Those kinds of numbers were a positive precursor to the numbers that would follow for Bitcoin in the coming months.
PEPE was also a beneficiary. Investors rejoiced as PEPE soared 86.56% in just seven days after Spot BTC ETF’s approval. Something similar can be expected if Spot Ethereum ETFs start trading, perhaps even more so since the altcoin is highly correlated with PEPE.
That’s not all, as at the time of writing, PEPE was breaking the bullish flag on the charts. This part of the consolidation usually signals that a bullish continuation is in the offing.
$0.0000015 seemed to act as a strong support level. PEPE has rejected this level several times, indicating that the level could set the stage for a potential bullish rally.
Here it is worth noting that PEPE has a seasonal trend, a consolidation phase, followed by a subsequent impressive breakout and price rally. Considering that the price has recently broken out of a bullish flag, a significant price rally may be in store.
Source: PEPE/USD, TradingView
PEPE whales take a breather
AMBCrypto’s analysis of IntoTheBlock data revealed a drop in the number of large transactions from 179 to 129 in the past week. In the last 24 hours alone, this figure fell by 27.93%.
Sometimes such a significant drop in the number of major market players can precede significant price movements in the charts.
Source: IntoTheBlock
In addition, AMBCrypto reviewed Coinglass’s liquidity level data. It indicated a balanced market, with bulls slightly leveraged.
Simply put, investors are now anticipating a near-term rise in the memecoin’s price, a sentiment that increases the likelihood of a potential rally.
Source: Coinglass
All things considered, current market dynamics are positive for PEPE and other memecoins that are so highly correlated with ETH. When Spot ETH ETFs start trading, they can expect a rally in the near future.
Only time will tell how long that rally will last.