- PEPE faces a potential 15% drop as whales begin offloading billions of tokens, triggering bearish momentum.
- A recent whale sale of 502.5 billion PEPE coins has shaken investor confidence and reduced trading volume.
The memecoin frenzy surrounding PEPE is facing a reality check as whale activity sends shockwaves through the market. A major PEPE holder recently offloaded a staggering 502.5 billion coins worth $6.47 million, locking in an impressive $7.47 million profit in just under a month. While this move may seem like a strategic win for the whale, it’s raised serious questions about PEPE’s short-term price stability.
As of May 30, PEPE had already dropped 11%, trading around $0.0000128, with trading volume declining by 15%—a clear signal that investor sentiment is turning cautious. The sudden dip coincided with PEPE breaking down from an ascending triangle pattern, a bearish technical signal that often precedes a deeper correction.
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Whale Moves and Market Impact
Despite the sale, the whale in question still holds another 497.5 billion PEPE, now valued at approximately $6.41 million. However, the timing of the dump—right as the price trend weakened—has intensified bearish sentiment. On-chain data from IntoTheBlock shows a 4.09% rise in large transaction volume, suggesting whales are either preparing for further exits or tactically buying the dip.
Bearish Technicals Signal Trouble
According to chart analysis by AMBCrypto, PEPE may be heading toward a key support level at $0.0000111, marking a possible 15% decline from current levels. The 200-day EMA sits in the same zone, acting as a critical line of defense for bulls.
Meanwhile, the Relative Strength Index (RSI) sits at 52, indicating neutral conditions. While this could offer room for either a rebound or further fall, the overall bias currently leans bearish.
Liquidation Levels Paint a Volatile Picture
Data from CoinGlass shows major liquidation levels at $0.00001259 (support) and $0.00001351 (resistance). With $2.39 million in long and $7.65 million in short positions at stake, a sharp price move could trigger a cascade of liquidations in either direction.
With whales cashing out and momentum shifting, PEPE is at a crucial crossroads. A continued sell-off could drive prices down another 15%, but if sentiment stabilizes, opportunistic investors might swoop in to buy the dip. For now, caution is advised.
