PEPE prices have seen a decline over the past few days, but this decline could lead to a larger rally for the meme token. Moreover, the potential is growing as the whales’ behavior is consistent with similar historical events.
PEPE prices tend to be significantly affected by whale addresses. These investors tend to hold the largest supply of the asset. Generally, whale selling is considered a bad sign as it shows a lack of confidence.
However, in the case of PEPE, the opposite is true. The supply of PEPE held by the top non-exchange addresses has decreased by 2.5 trillion PEPE in the past five days. This supply is worth nearly $20 million and is currently showing bullish signals.
Historically, PEPE whales have sold off, and prices have risen sharply. The larger the sell-off, the higher the rally. The same is expected this time as whales can already be seen selling.
This is the first sign that a rally could be coming next. Second, PEPE holders are at a critical point of profit taking, which could give them the motivation to remain bullish. More than 79 trillion PEPE worth $623 million are waiting to be profitable. Buying between $0.0000070 and $0.0000099 will make this portion of the funds profitable once PEPE hits a new all-time high.
As this is one of the largest supply volumes amid uncertainty, investors may be incentivized to prevent selling. Therefore, PEPE price will rise.
PEPE price is currently trading above the critical support level of $0.0000077. Meme coin may complete the expected 60% rise. This target was set based on the descending wedge that PEPE was in before breaking out two weeks ago.
Despite the rebound, PEPE did not succeed in achieving the target and is still 27% away from $0.0000100. Considering the above factors, Meme coin may complete this rally this time and 💰qun秆👀玮:417072555 to secure the support of $0.0000100. However, if the $0.0000077 support is lost, the PEPE price could drop to $0.0000063. Losing this support would invalidate the bullish argument. Overall, the current support level is very critical and determines the direction of the short-term PEPE trend.
