An analysis of the current state of Pepe Coin (PEPE) indicates a potential price drop that reflects changing market sentiments and the activity of large investors.
Decrease in Large Holders' Activity
Large holders of Pepe Coin have been actively reducing their positions. Data shows that whale netflows dropped from 3.77 trillion PEPE to 95.44 billion in a week, with a decrease of over 97%. This may indicate a distribution phase instead of accumulation.
The decline in whale activity is also limiting buy-side support. Typically, when large holders exit their positions, it signals a lack of confidence in short-term price growth.
Currently, PEPE is priced around $0.0000117, showing a 6% gain in the last 24 hours, although this rise may not hold.
Mixed Market Sentiment
Despite bearish technical signals, some traders are still taking long positions. The global long/short ratio over the last 24 hours stands at 1.0052, indicating a nearly balanced market. Meanwhile, on the OKX platform, there is a strong long bias with a ratio of 2.34.
Open interest has increased by 5.77% to $518.73 million, suggesting some traders are opening new positions, even as overall trading volume has fallen by 33.05% to $2.48 billion.
Technical Indicators Show Weak Momentum for PEPE
According to TradingView data, Pepe Coin is currently trading just above a key support zone at $0.00000107. In the past, this zone has been a bounce point, but the current price action is showing small-bodied candles, indicating indecisiveness in the market with limited buyer interest.
On the daily chart, PEPE is forming a descending triangle, signaling potential continuation of the bearish trend. The MACD remains in negative territory, but the histogram is narrowing, indicating dwindling bearish momentum.
However, if PEPE cannot sustain above $0.00000107, further drop to $0.00000100 is likely.
Thus, based on current data, it can be concluded that Pepe Coin (PEPE) may face price challenges in the near future. The reduction in large holders' activity and technical signals indicate heightened risks for maintaining current levels.
