Pepe Coin Whales Gradually Offloading Holdings, Raising Concerns
NAIROBI (CoinChapter.com) – The price of Pepe Coin experienced a remarkable surge of 126% in May, making it one of the top performers in the crypto market. However, recent data from blockchain analytics firm Santiment reveals that large holders, known as “whales,” are gradually selling off their PEPE tokens. This development has sparked questions about the future of PEPE, including whether it will reach a market cap of $10 billion or if a pullback is imminent.
Over the past three months, Pepe Coin’s price has skyrocketed from $0.0000065 to $0.00001486, representing a significant increase of 128%. This substantial growth has attracted the attention of investors and traders. Meanwhile, entities holding over 1 billion PEPE tokens have been reducing their holdings.
Santiment’s data shows that the supply of PEPE held by whales has steadily declined. These large holders appear to be either redistributing their funds across multiple wallets or cashing out portions of their holdings to take advantage of the price surge.
Despite the recent price drop of 6.86% in the last 24 hours, bringing the current value of PEPE to $0.00001486, its market capitalization remains relatively stable at $6.2 billion. This suggests that there is still confidence in the long-term potential of this meme coin. However, the price drop and the high trading volume, which has increased by 21.19% to $2.0 billion, could indicate a shift in market sentiment and potentially the beginning of a bearish trend.
On-chain data from Spot On Chain also reveals significant activity related to Pepe Coin. The development team has been selling substantial amounts of PEPE, often preceding price drops. Since late February, they have sold 282.8 billion PEPE ($2.28 million) at an average price of $0.000008067 on Binance and decentralized exchanges.
Most recently, after the token’s price surged by 134% in 30 days to a new all-time high, the development team sold 21.49 billion PEPE ($355,000) on Binance and DEXs. Currently, the team holds 2.52 trillion PEPE ($42.7 million).
Certainly, this whale activity raises concerns about the sustainability of PEPE’s bull run. While the meme coin’s market cap is approaching $10 billion, a significant increase of 57% from its current price would be necessary to reach this milestone. A post-retest reversal with a surge in demand could potentially propel PEPE to $0.00002377 this June. However, the actions of the whales may introduce volatility and uncertainty to the market.