Price of $PEPE has fallen

by 20% in six days, breaking through the support level at $0.000010. Whale activity has increased, raising concerns of a deeper correction.

At a critical stage, $PEPE risks losing the psychological level at $0.000010 as selling pressure increases. Will the rising whale activity, along with the ongoing downward trend, drive the price of Pepe to a new monthly low?

Price analysis of $PEPE

On the daily chart, #Pepe struggles to stay above the support level at $0.00001037. With its drop during the day to $0.00001024, PEPE recorded its lowest trading price in the past thirty days.

This reflects an increase in overall selling pressure, which has led to a 20% decline over the past six days. As market sentiment continues to decline, a daily close below the psychological level of $0.000010 could extend the correction to the support area of $0.0000090, a level that previously served as significant resistance.

If the downward momentum continues, the risk of a drop may extend to $0.00000570, which is the lowest closing price of the year so far.

Chain data indicates an intense sell-off of the Baby token.

According to data from Into The Block, the number of large transactions (over $100,000) has significantly increased over the past thirty days. Since early May, the number of these transactions has risen compared to the relatively quiet period between February and April.

Typically, an increase in large transactions indicates the formation of a peak or trough in the trading cycle. Given the increasing selling pressure, this rise in large transactions may indicate potential intense sell-offs of the Baby token.

Accordingly, chain data supports the likelihood of increasing retracement risks for the meme-themed Baby token.

Number of large PEPE transactions

Emerging concerns in PEPE derivatives

CoinGlass data also shows a 5.70% decrease in Baby's open interest, now at $483.09 million. Over the past twenty-four hours, total liquidations amounted to $2.28 million in long positions, compared to only $486,000 in short liquidations.

PEPE derivatives

This imbalance has led to a decline in the ratio of long positions to short positions to 0.9384, reinforcing negative expectations. Overall, the PEPE derivatives market indicates that traders are preparing for a major correction.