In this unpredictable world of cryptocurrencies, meme coins have emerged as a fascinating phenomenon, captivating the interest of investors. Among these light-hearted tokens, Pepe Coin (PEPE) has garnered significant attention, boasting a substantial market cap and impressive engagement.
As the second-largest Ethereum-based meme token, PEPE’s price movements are always under scrutiny. Pepe Coin’s recent downturn has caught investors’ eyes, sparking concerns and speculations. While meme coins are often known for the social media hype and speculative nature, this downtrend has invoked a new wave of anxiety, with many wondering if the era of PEPE is coming to an end.
Despite the current negative sentiment, some experts and analysts express optimism about PEPE’s potential future. This article will study the meme coin’s current bearish trend, its catalysts, and the token’s future predictions.
PEPE Dips 7%
Aligning with the broader crypto and meme coin market trend, PEPE is experiencing a downward pull. Currently, the $3.78 trillion global crypto market is down by 2.61% whereas the $64.57 billion meme coin space is down by 3.05%.
Thus, the Pepe Coin’s prevailing bearish trend could be primarily attributed to the broader market trends. All major tokens, including Bitcoin (BTC), Ethereum (ETH), XRP, Solana (SOL), and Binance Coin (BNB), have shown significant losses over the past 24 hours as well as seven days. Similarly, top meme coins like Dogecoin (DOGE), Shiba Inu (SHIB), Pudgy Penguins (PENGU), Official Trump (TRUMP), and Bonk (BONK) are also trading in the red zone.
Pepe Coin, now the third-largest meme coin by market cap, is also in line with the broader trend, registering notable dips. At press time, PEPE is trading at $0.000009469, down 4.26% in a day, 5.99% in a week, and 7.1% in a month. Though the meme coin exhibited a positive trend at the onset of last month, by mid-month, it started plummeting.
Traders are also becoming less optimistic about the token, which is evident from the waning market activity. The 24-hour trading volume is recorded at $397 million, down by 6.5%.
Liquidation Data Reveals Bearish Sentiment
The latest liquidation data highlights a growing bearish trend, with over $821.33K tokens liquidated across major crypto exchanges. Of this, around $797.15K in long positions were wiped off, while only $24.18K in short positions were settled. This imbalance indicates that sellers are dominating the market, forcing traders who bet on higher prices out of their positions and adding downward pressure on the Pepe coin.
OKX leads the liquidation figure with $618.71K PEPE liquidated- $595.03K in long positions and $23.67K in short positions. Exchanges like Gate and HTX follow with the liquidation data marked at $118.79K and $46.31K, respectively.
Whale Activity
Significantly, whale activity continues to be a crucial factor in the Pepe Coin’s market dynamics, presenting both risks and opportunities. Since November 24, large holders have reduced their holdings from 165 trillion to 134.98 trillion, adversely impacting the price.
Recently, a whale dumped 500 billion PEPE tokens, worth approximately $4.8 million, into Binance. This forced the token’s price to dip to $0.0000094. In August, a whale sold 227.8 billion tokens, worth $2.42 million. Another major dump occurred in June when a large holder sold a massive 500 billion PEPE for about $4.8 million.
Will Pepe Coin Rebound?
Despite the meme coin’s current bearish trend, analysts like Chandler remain bullish about its future prospects. In the PEPE price chart, the analyst identified the formation of a symmetrical triangle pattern, one that reflects a previous one formed in 2024. This made him bullish about the memecoin, as the token is projected to hit $0.00005 in the near term.
However, the ultimate target of PEPE remains shrouded in uncertainty. Investors and traders must stay alert, exercising research and caution to know where it is heading.
