PEPE, the popular meme coin, may struggle to gain momentum as a bearish sentiment grows among investors. The main factor driving this downturn is the retreat of large investors, known as whales, who are pulling back significantly from the market.
Investor Confidence in PEPE Wanes
Currently trading at $0.00000785, PEPE was anticipated to break out from a bullish descending wedge. However, this outcome now seems unlikely due to a noticeable lack of enthusiasm among investors.
Network participation has dropped sharply, with active addresses hitting a six-month low. This decline reflects a broader lack of interest, as many investors choose to hold onto their assets rather than engage in transactions.
Whale behavior, in particular, is having a negative impact on market confidence. These large wallet holders are stepping back, leading to concerns about the future of PEPE. Their reduced involvement is especially evident in the sharp decline in high-value transactions, specifically those worth $100,000 or more.
Over the past two weeks, daily transaction volume has plummeted by 60%, dropping from $83 million to just $33 million. This steep decline underscores the significant influence whale activity has on the overall market.
If whales continue to remain inactive, PEPE’s price growth potential will be severely limited.
PEPE Price Outlook: Potential Consolidation
PEPE’s current price hovers above the support level of $0.00000775. The coin is attempting to bounce back from this point, with hopes of recovery. The descending wedge suggests a possible 80% rise toward its all-time high of $0.00001725. However, given the current market dynamics, a breakout seems unlikely. Without stronger bullish signals, PEPE might struggle to climb past $0.00001000.
On the flip side, if investor sentiment improves, PEPE could turn $0.00001000 into a support level. This would pave the way for further gains and potentially challenge the current bearish outlook.
