Despite selling by major holders, Pepe's price shows a golden cross.
Pepe, the second-largest Ethereum meme coin, recently experienced a 14% price drop to $0.000014 from its weekly high. This decline coincided with broader market concerns stemming from Donald Trump's threats of increased tariffs on European goods and Apple products, which led to a $100 billion reduction in the total cryptocurrency market capitalization
On-chain data indicates that the supply of Pepe held by whales (large holders) has been consistently falling. Their holdings have decreased from 165 trillion coins in February to 141.2 trillion, the lowest since November of last year. Similarly, smart money investors (experienced and successful holders) have also been reducing their Pepe holdings over the past few months, dropping from 380 billion to 244 billion coins.
Further contributing to concerns, Pepe balances on exchanges have started to rise, increasing from 251.3 trillion to 252.9 trillion coins. This uptick is often seen as a red flag, suggesting that more investors are moving their holdings from self-custody to exchanges, likely with the intent to sell.
Despite these bearish indicators, Pepe shows strong technical analysis signals that could attract smart money and whales. The daily chart is on the verge of forming a golden cross pattern, where the 50-day Exponential Moving Average is set to cross above the 200-day EMA, typically a bullish long-term signal. Additionally, a rounded bottom pattern has formed, which often precedes continued upward movement. These technicals suggest potential for further gains, with a break above the week's high of $0.00001625, potentially leading to a new record high of $0.00002840.