Following major announcements from the U.S. Federal Reserve and the Bank of Japan, the cryptocurrency market is undergoing a correction. Pepe (PEPE), the frog-themed meme coin on the Ethereum (ETH) network, has dropped around 8% in the past 24 hours. On Thursday morning in New York, it was trading at about $0.00001045.
What else is there to know about this meme coin? Dive in.
Pepe’s Market Performance
The mid-cap meme coin, with a fully diluted valuation of about $4.4 billion and a daily average traded volume of around $748 million, flashed a midterm bearish outlook after struggling to maintain bullish momentum.
Moreover, Pepe’s price closed the past two months with a bearish outlook, and based on historical data, the crypto industry could continue in a downward trend in August.
Whale Activity Raises Concerns
On-chain data from Lookonchain reveals that a major whale investor recently deposited 400 billion PEPE units—worth $4.22 million—into the Binance crypto exchange. The whale currently holds about 395 billion PEPE units, valued at approximately $4.1 million.
This large transaction could create additional selling pressure for the 266,842 PEPE holders in the weeks ahead.
Technical Analysis
The Bitcoin fear and greed index has dropped from over 72%—indicating greed—to around 52%—reflecting a neutral stance—in the last two days. Technically, PEPE’s price is forming a head and shoulders (H&S) pattern, accompanied by a bearish divergence on the daily Relative Strength Index (RSI).
If the bearish trend continues, Pepe’s price could find support in the range of $0.000009 to $0.000007, which aligns with the 0.5 and 0.618 weekly Fibonacci Retracement levels.
Also Read: Top 6 Altcoins Poised For Explosive Rally Before 2025
Will Pepe manage to hop out of this bearish trap, or is it headed for a deeper dive?