The cryptocurrency market garnered massive attention due to significant whale activity just a few hours ago. On May 7, 2024, an on-chain analytics firm, Spotonchain, posted on X (formerly Twitter), highlighting whale activity surrounding PEPE, the third-largest meme coin. According to Spotonchain, a whale wallet address, 0x1a2e, recently sold a massive over 1.238 trillion PEPE tokens valued at $10.6 million to Binance. Following this whale’s action, the price of PEPE suddenly dropped by 6%.
Will the PEPE price drop?
The attention-grabbing aspect wasn’t just the fact that this whale sold their entire PEPE holding. What intrigued many was that this whale had purchased this massive 1.238 trillion PEPE holding just 3 days prior. Despite the significant sell-off, this whale made a profit of $134K, which is small compared to the invested amount.
However, the intriguing question arises: did the whales know something that made them bearish with PEPE?
PEPE technical analysis and key levels
According to expert technical analysis, PEPE is looking bullish. On the daily time frame, PEPE has already shown a breakout of the inverted head and shoulders and the bullish flag and pole price action pattern. Additionally, it is trading above the 200 EMA (Exponential Moving Average). This bullish price action pattern may cause a massive price surge of over 70% in the coming days.
Despite the bullish outlook for PEPE, this whale’s massive sell-off raised questions among investors and has the potential to cause a significant price drop. Currently, PEPE is trading near $0.0000084, and in the last 24 hours, it experienced a price fall of over 6%. If we look at the performance of PEPE over a longer period, in the last 7 days, PEPE’s price massively soared over 21%, whereas in the last 30 days, despite lots of uncertainty in the cryptocurrency market, PEPE managed to gain over 20% of upside momentum.
Despite this whale’s action, in the last few hours, more than half a billion worth of cryptocurrencies have been deposited to centralized exchanges, including Binance, Coinbase, Robinhood, and others, according to data shared by blockchain transaction trackers like Whale Alert.
As of now, top cryptocurrencies like Bitcoin, Ethereum, and many others are experiencing downside momentum, whereas Solana and Render experienced a decent price surge in the last 24 hours.
