PEPE price was noting a breakout from a descending wedge. However, this potential rally failed soon after, and the meme coin is now vulnerable to a decline.
Losing the support of $0.00000624 for good could result in the frog-themed token slipping to a two-month low.
Crypto Whales Move to Sell PEPE
Meme coins are laced with uncertainty regarding gains, and investors of such assets make their moves as soon as the price goes up. This is the case with PEPE as well. Following the initial green candlestick on April 20, whales began to sell their holdings for profits.
The addresses holding between $10,000 to $10 million collectively sold over $120 million worth of PEPE. This selling took place in the span of merely ten days, which halted the meme coin’s potential rally mid-way.
Being a meme coin, large wallet holders are PEPE’s saving grace, but when they shift to selling, they become the beacon of disaster.
Pepe Whale Holdings. Source: IntoTheBlock
Moreover, Pepe’s network growth was noted to dip in the last few weeks, bringing it to a two-month low. This metric assesses the rate at which new addresses are formed on the network to determine whether the project is gaining traction in the market.
Given that PEPE’s network growth is at such a low, it seems that even new investors are staying wary of the meme coin.
Pepe Network Growth. Source: Santiment
PEPE Price Prediction: Awaits Recovery
Pepe’s price, trading at $0.00000618 at the time of writing, can already be seen below the crucial support of $0.00000633. This level has been tested multiple times in the past, and losing it inflicts bearishness on investors.
If the pessimistic cues weigh in on the price action, Pepe’s price could potentially dip to $0.00000474. This would mark a two-month low for the meme coin, as the last time it slipped to this point was in early March.
Pepe Price Analysis. Source: TradingView
However, it could reverse the decline if the investors push back against the bearishness and PEPE reclaims $0.00000633 as the support floor. Bouncing off the support would invalidate the bearish thesis, initiating recovery and sending PEPE to $0.00000700 and above.
