- Shopping for stress on the meme coin continued to stay excessive.
- Market indicators advised that PEPE would possibly witness a worth correction.
Pepe [PEPE], one of the vital well-known meme cash, has displayed promising efficiency over the past week. Whereas the meme coin’s worth surged, a whale really bought a considerable variety of tokens, incomes income.
Does this imply that the whale is anticipating PEPE to witness a worth correction within the close to time period?
Are PEPE whales promoting?
Over the past week, PEPE registered double-digit development, which regarded promising. To be exact, the meme coin managed to raise its worth by greater than 33%.
In truth, it additionally maintained its positive factors within the final 24 hours, because it was up by over 9%. On the time of writing, the coin was buying and selling at $0.000001418 with a market capitalization of over $592 million, making it the 89th largest crypto.
Whereas the coin’s worth continued to pump, a whale selected to promote its holdings.
Based on a latest tweet from Lookonchain, a whale deposited 794 billion PEPE, which was price $1.1 million to Gateio, when the worth of the token surged. This sale allowed the whale to earn a revenue of $230,000.
The value of $PEPE simply soared greater than 20%.
We observed {that a} pockets deposited 794B $PEPE ($1.1M) to #Gateio when the worth of $PEPE skyrocketed, making ~$230K.
Subsequently, the worth of $PEPE started to fall from the height.https://t.co/MBLnOSNlSE pic.twitter.com/cLTtCyMpGJ
— Lookonchain (@lookonchain) December 4, 2023
Does this imply that the whale was anticipating a worth drop? However when AMBCrypto checked Santiment’s knowledge, we discovered that whale exercise across the meme coin was excessive.
In truth, they have been really rising their holdings, which was evident from the truth that PEPE’s provide held by prime addresses elevated final week. Not solely that, however retail traders at giant have been additionally accumulating.
PEPE’s provide on exchanges dropped sharply whereas its provide exterior of exchanges elevated, that means that purchasing stress on the token was excessive. Its trade outflow additionally spiked, additional proving the truth that traders have been shopping for.
Supply: Santiment
What to anticipate from PEPE
Since traders are nonetheless shopping for PEPE, AMBCrypto then checked PEPE’s every day chart to higher perceive what to anticipate from it over the times to comply with.
Sensible or not, right here’s PEPE’s market cap in BTC phrases
The MACD remained bullish because it displayed a bullish crossover; nevertheless, the meme coin’s worth touched the higher restrict of the Bollinger Bands, which may trigger a worth correction.
Moreover, each its Relative Power Index (RSI) and Cash Move Index (MFI) have been close to the overbought zone. This elevated the possibilities of a rise in promoting stress, which may push the coin’s worth down.
Supply: TradingView