Key Insights:
- Whale withdrew 1.5T PEPE ($13.5M) from Binance, hinting at long-term holding.
- PEPE forms bullish double-bottom, eyes breakout above $0.00000917 level.
- Whale holdings stabilize, exchange supply drops, easing sell pressure.
In the latest PEPE news, a high-profile whale transaction has renewed focus on the meme coin market.
A prominent investor withdrew 1.5 trillion PEPE tokens from Binance, sparking speculation about accumulation strategies and the possibility of an upcoming price rebound.
With technical indicators flashing potential reversal signals, investors are closely watching for the next move.
PEPE News: Whale Withdrawal Fuels Fresh Speculation
According to The Data Nerd, a crypto whale associated with wallet 0x3c9 withdrew 1.5 trillion PEPE tokens, valued at approximately $13.54 Million, from Binance within the past 24 hours.
The assets were moved to a private wallet, typically viewed as a signal of long-term holding or an over-the-counter deal to avoid placing downward pressure on the market.
This movement coincided with PEPE price trading at $0.000008931 and daily volume surging to over $522.86 Million.
Such large-scale withdrawals are often interpreted as bullish actions since they reduce active supply on exchanges.
On-chain data from Arkham Intelligence verified the transaction, adding weight to the notion that accumulation may be taking place behind the scenes.
Whale Behavior and Earlier Selling Pressure
Despite this notable whale withdrawal, prior PEPE news paints a more complex picture. Data from analytics firm Santiment showed that whales have been reducing their exposure to PEPE for several months.
Holdings among large wallets fell from 165 trillion in February to around 148.7 trillion by late April, reflecting a reduction of over 41 trillion tokens.
This reduction of whale holdings coincided with the gradual fall in the price of PEPE from its yearly peaks.
he 90-day Mean Dollar Invested Age (MDIA), which is also been declining, indicated that more old tokens are moving more frequently.
This usually implies that there is a higher sellers’ activity because the holders who previously held their tokens dump them.
The general trend in the wider crypto market remains bearish, which has also contributed to Ethereum staying below $2,000 and has applied pressure to meme coins such as PEPE.
Stabilizing On-Chain Activity
At the same time, there are indications that the selling pressure could be peaking. Since 24 April, whale-held balances have not changed, so there is no distribution of whales at the moment.
Furthermore, exchange-based tokens followed a similar trend and reduced from 255.81 trillion to 254.90 trillion.
Although this could be seen as a relatively small percentage, this is quite consequential in context, implying a lesser degree of perceived selling intent.
These are seen as positive regarding current PEPE news cycles, especially given prior declines in large holder addresses.
If this stabilization is to be maintained, it will create the basis for a gradual enhancement of the price level.
Along with declining exchange balances, all these signs suggest that there might be more positive changes among long-term holders.
Technical Analysis Points to Bullish Reversal Setup
At the time of writing, PEPE price traded near $0.0000088, rebounding from a monthly low of $0.00000572.
On a technical level, the asset has been in the formation of a double-bottom pattern with the neckline drawn around $0.00000917 on April 28.
However, a breakout above this level should validate the pattern and create a fresh up move.
If this happens, the PEPE price might reach its high of around $0.00001712 in May 2024, which will be 87% higher than the current price.
More so, the token has struggled to decisively breach the neckline, leaving open the possibility of a retracement.
A drop below the $0.00000572 support zone could reset bullish momentum and increase downside risk.
At this critical stage, the traders engaging in PEPE news are keeping an eye on volume and resistance.
However, a breakout could give a new takeover potential for the short-term meme movement especially if whales continue to accumulate while broader Cryptocurrency market trends improve.