Pepe Coin price prediction hints at a bearish sentiment as whales and retail traders have turned bearish on Pepe Coin. Meanwhile, the market is recovering from Bitcoin’s latest onslaught, which is only 0.7% down today, compared to 6.5% on August 28. PEPE price is just above critical support, and an analysis of traders’ behavior suggests a potential crash if market conditions remain the same. Will the price of PEPE survive?
Whales Offloading Impact on Pepe Coin Price
An analysis of data from IntoTheBlock shows that Pepe Coin large holders have been steadily offloading their assets over the past few days. On August 28, there was a net outflow of 1.16 trillion ($8.96 million) from their wallets. Coincidentally, the Pepe coin price daily candle for August 28 shows a struggle between buyers and sellers. A larger upper wick shows the presence of aggressive selling.
Looking into the Exchange flows data from Coinglass, we can see a net positive inflow of PEPE yesterday to the tune of $4.19 million. This indicates that whales are moving their cryptocurrency holdings into exchanges. This can signify that they are preparing to sell their assets, as exchanges are typically where trading occurs.
Additionally, the Coinglass Crypto Derivatives Visual Screener (CDVS) shows that open interest (OI) dropped 4.3%, but the price increased by 0.14% in the last 24 hours. This suggests that traders are indecisional as they wonder whether to close their shorts and long positions or remain in the market.
Although the gap is small, the Coinglass Liquidation Map shows more Shorts than Longs positions. This imbalance indicates the market is dominated by a bearish sentiment as a fair share of traders (and whales) anticipate that the price of Pepe Coin may drop further.
PEPE Could Drop 22% If This Level Doesn’t Hold
The PEPE price is trending downward, following a recent pump that proved to be a fake-out, leading to an aggressive correction and a 20% drop in value.
PEPE might find support around $0.00000700, which represents a 10% decline from the current value. However, if this support fails, the price could plummet another 22% to reach the August 5 lows around $0.00000585.
The ongoing whale-selling spree and the increase in short positions are adding to the pressure, making it more likely that the $0.00000700 support level might not hold.
If Pepe Coin price bounces off this support, holds at $0.00000700, and rebounds, it may signal market strength and could invalidate the current bearish thesis. PEPE price may surge above $0.00000900 to establish new monthly highs.
Frequently Asked Questions (FAQs)
The bearish sentiment is driven by several factors, including the offloading of PEPE by large holders (whales), a net positive inflow of PEPE into exchanges, and an increase in short positions.
The key support level for PEPE is around $0.00000700. If this level fails to hold, the price could drop by an additional 22% to around $0.00000585, which was the low point on August 5.
Traders should monitor the $0.00000700 support level closely. If PEPE bounces off this level, it could indicate a potential reversal. Conversely, if it breaks, a further decline to $0.00000585 is possible.
Related Articles
Evans Karanja
Evans Karanja is a content writer and scriptwriter with a focus on crypto, blockchain, and video gaming. He has worked with various startups in the past, helping them create engaging and high-quality content that captures the essence of their brand. Evans is also an avid crypto trader and investor, and he believes that blockchain will revolutionize many industries in the years to come. When he is not writing, you can find him playing video games or chasing waterfalls.
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/is-pepe-coin-price-preparing-for-breakout-as-whales-accumulate/
✓ Share: