Major Pepe frenzy profiteers have sold their PEPE tokens in large quantities, indicating waning whale holding interest.
Earlier in May, the market capitalization of Pepecoin (PEPE) — a cryptocurrency inspired by the popular internet meme Pepe the Frog — had soared to $1.8 billion. Two weeks later, the PEPE market cap has come crashing down to roughly $665 million, a 65% decline. Let’s look at the reasons why.
Pepe frenzy profiteers dump
According to data reviewed by Dune Analytics’ on-chain analyzer Wuligy, PEPE whales are primarily to blame for the recent decline in price of the coin. The top fifteen addresses, renowned for their enormous gains and profits as well as their sizeable holdings during PEPE’s market peak, have been selling off a sizable amount of their tokens over the previous several weeks.
These PEPE whales, who had built up sizable holdings during the token’s high, appear to have decided to liquidate their holdings, adding to the downward price movement and increasing selling pressure.
Some whales have even sold 100% of their PEPE reserves during the crash, as shown below.
Nevertheless, considering that PEPE has been listed on numerous cryptocurrency exchanges since its introduction, including the most recent one, Bitfinex, some of these addresses may be exchange wallets or belong to current PEPE holders.
Related: Pepe’s sudden drop leaves whale 500k in the red
PEPE price bounce next?
PEPE price is now at a technical support confluence level, suggesting that a modest bounce is now in play.
A rebound attempt from the said support raises PEPE’s potential of rising toward $0.00000190, up 20% from current price levels.
Conversely, a decisive close below the support confluence would position PEPE/USD price for a decline to $0.00000083 by June, down 45% from current price levels.
