As a seasoned crypto investor with battle scars from the infamous 2024 crypto crash, I’ve learned to read between the lines and decipher the dance of whales, bulls, and bears. The recent PEPE price breakout is certainly a cause for concern, but it’s not enough to make me panic-sell.
Lately, the price of Pepe has burst free from a bearish reversal pattern, suggesting that it may continue to fall. This breakout also caused about 9% of Pepe holders to incur losses again, as the percentage of investors in profit declined from 67% on Friday to 58% on Monday. However, the recent market upswing has opened a potential opportunity for Pepe to recover, and there’s been an uptick in whale activity related to Pepe.
Is This the Last Accumulation For PEPE Price
On a day-to-day basis, Pepe’s price is having difficulty staying above its 200-day Exponential Moving Average (EMA), but it continues to be one of the most robust cryptocurrencies outside of Bitcoin. Even during the severe crypto market downturn in 2024, it managed to hold close to this significant marker.
In my analysis, over the past day, the value of Pepe coin dipped by approximately 5.8%, settling at a price of $0.00000816. Despite this decline, a shrewd investor, or so-called ‘whale’, seized the opportunity to amass even more tokens in their portfolio.
In the past week, a digital wallet labeled “cookislandstrust.eth” – resembling a whale – purchased approximately 420 billion PEPE tokens, equivalent to around $3.41 million. Currently, this wallet is enjoying a profit of over $913,000 from these transactions.
A whale named “cookislandstrust.eth” is trying to buy $PEPE at dip again!
Over the last week, the whale has shelled out approximately 3.13 million USDT to purchase two batches of 420 billion PEPE tokens. This includes transactions made during the significant dump on August 5 and a more recent one that took place just 2 hours ago. As a result, the whale now holds around $170,000 worth of PEPE, representing an increase of about 5.4%.
The whale also spent 7.05M $USDT…
— Spot On Chain (@spotonchain) August 12, 2024
A shrewd investor acquired a massive quantity of PEPE tokens twice: 300 billion on August 5 and an additional 120 billion on August 12, accumulating a grand total of 420 billion tokens. This action follows the report that a different ‘whale’ has sold 5,000 ETH, sparking rumors that these proceeds could potentially be invested in meme coins like SHIB and DOGE.
Futures Data Support Rebound
In the past 24 hours, the open interest for PEPE decreased by 11.89%. This decrease, along with the falling price, suggests that traders holding long positions might be trying to exit their contracts to minimize further losses.
In the past 24 hours, the ratio of long to short positions on Coinalyze has risen, indicating that long investors are experiencing losses and short investors are realizing profits. This situation causes the Open Interest (OI) to decrease. When short investors close their trades, they buy the underlying asset, which is a positive sign for the market trend.
In a nutshell, the funding rate for PEPE being negative implies that short sellers are actually paying long holders to keep their positions open. Consequently, even though the short-to-long (L/S) ratio has decreased, there are still more short sellers in the market compared to long holders at present.
This signals that the PEPE price may continue moving downward in the short term until it hits the potential rebound zone.
PEPE Price Forecasts Steep Correction
Examining the detailed breakdown, it appears that the general direction is descending. This is suggested by the repeated occurrence of the price being lower than both the 50-day moving average (represented by the green line) and the 200-day moving average (represented by the black line).
As an analyst, I’ve noticed a significant resistance point for Pepe around $0.00000846, which is quite close to its 50-day Exponential Moving Average (EMA). On the flip side, the immediate support can be found at $0.00000610, as suggested by the horizontal line on the chart. This level also lines up with the anticipated price drop indicated by the arrow.
Looking at the graph of Pepe’s value, there seems to be a developing downtrend following the conclusion of an ascending triangle, often indicative of a shift towards lower prices. The recent candles suggest resistance at higher values, reinforcing a pessimistic outlook.
In simpler terms, the Relative Strength Index (RSI), which measures an asset’s strength, stands at 41.95. This suggests that the asset might be getting close to being oversold, but it hasn’t reached that point yet. There’s still a possibility for the price to decrease more. On the other hand, the Chaikin Money Flow (CMF) is currently -0.21, indicating a negative money flow. This means that at the moment, there’s more selling pressure compared to buying pressure.
If the price surpasses both its 50-day and 200-day Moving Averages, this would be a definite sign of a trend reversal. Should there be a substantial rebound accompanied by an increase in trading volume and the Relative Strength Index (RSI) exiting the oversold territory, the potential next bullish aim could reach $0.00001200.
Read More
- SOL PREDICTION. SOL cryptocurrency
- USD PHP PREDICTION
- BTC PREDICTION. BTC cryptocurrency
- USD COP PREDICTION
- TON PREDICTION. TON cryptocurrency
- Strongest Magic Types In Fairy Tail
- ENA PREDICTION. ENA cryptocurrency
- LUNC PREDICTION. LUNC cryptocurrency
- AAVE PREDICTION. AAVE cryptocurrency
- TAO PREDICTION. TAO cryptocurrency
2024-08-12 15:24