Whale transactions of PEPE have increased by 257%—does a 25% price drop threaten?
The meme coin Pepe (PEPE) has recently experienced sharp volatility, raising concerns among both analysts and investors. After a 100% increase over the past week, the price has reached a psychological resistance and is now showing signs of exhaustion. An additional source of concern is the massive increase in whale transactions by 257%, which is often perceived as a signal of a cycle peak.
📉 PEPE price under pressure: signs of reversal and double top.
PEPE is currently trading at $0.00001399, down 3.19% in the last 24 hours. This decline aligns with the significant weakness of Bitcoin. If PEPE fails to overcome the resistance level of $0.000015, a deeper correction is likely.
Between May 6 and 12, PEPE soared by 100%, but has since been moving sideways around $0.00001274, forming a double top—a classic bearish formation. If the price breaks the neck level at $0.00001274 and closes a 4-hour candle below it, the formation predicts a decline of 25% to $0.00001063.
🐋 Whales selling before a crash? History repeats itself.
According to IntoTheBlock, on May 12, whale transactions of over $1 million sharply increased to 720, precisely coinciding with a local peak of $0.000015 for PEPE. Historical data from May, November, and December 2024 indicates that this level of whale activity often signals the end of a bull cycle. If whale transactions exceed 800, it typically indicates profit-taking by large holders.