As fear creeps into the crypto market, meme coins are turning volatile. PEPE, a frog-themed meme coin finds whale support in such conditions. Is this a sign of an explosive reversal spike?
As Bitcoin BTC $110 362 24h volatility: 0.4% Market cap: $2.20 T Vol. 24h: $33.01 B has broken under the $93,000 mark, the broader market sentiment is turning extremely bearish. Amid such conditions, the meme coin market cap has dropped to $97.43 billion.
Dogecoin DOGE $0.19 24h volatility: 1.1% Market cap: $28.05 B Vol. 24h: $837.72 M is down by nearly 3%, while Pepe PEPE $0.000007 24h volatility: 0.2% Market cap: $2.80 B Vol. 24h: $192.52 M has registered a 4.21% decline in the past 24 hours. With its 7-day return at a negative 18.15%, Pepe struggles to sustain a market cap of $7 billion.
PEPE Price Analysis
In the 4-hour chart, the declining trend in Pepe is testing the crucial support zone at the 23.60% Fibonacci level at $0.00001670. The Pepe price faced higher rejection from the 38.20% Fibonacci level while taking dynamic resistance from the 20-EMA line.
This completes a negative cycle within the consolidation range and hints at a bearish breakdown. However, the bullish divergence in the 4-hour RSI line suggests a potential double-bottom reversal.
Due to the prevailing bearish trend, the moving average lines in the 4-hour chart have attained a bearish alignment. Hence, the average lines are giving a sell signal, despite the RSI line signaling upside potential.
PEPE Price Target
Based on the Fibonacci levels, a bullish breakout of the 38.20% Fibonacci level will mark a buying opportunity. The breakout rally in Pepe could retest the previous crucial support zone at $0.00002120. This corresponds to the 61.80% Fibonacci level.
On the flip side, a bearish closing under the crucial support zone at the 23.60% Fibonacci level will likely retest the $0.000014412 level.
Declining Network Warns Rising FUD
Over the past three months, the number of large transactions over the Pepe has witnessed a significant decline. From the peak of 3.08k transactions on November 13, the transactions have dropped to 138 on January 12.
This marks a significant change of -95.52%. Furthermore, since the start of 2025, the number of large transactions has declined from 815 to 138. This marks a shift of -83.09% in 2025.
The lack of network activity reflects declining attention towards Pepe in a gradually turning bearish market. This warns of a potential rise in FUD.
Whales Continue to Support PEPE
Despite the Pepe price declining over the past week and the threat of a breakdown rally, whales are showing strong confidence. Over the past 24 hours, two whales have made significant purchases in this meme coin.
Whales are accumulating $PEPE!
1/ New whale “0x8f5” withdrew 280B $PEPE ($5M) from #Binance 4 hours ago. Additionally, the whale accumulated 47.4M $JASMY ($1.54M) a day ago.
2/ Whale “0xb1a” spent 3.72M $USDC to buy 200.4B $PEPE ~30 mins ago. However, this whale used to lose… pic.twitter.com/aTyZPl8Qqp
— Spot On Chain (@spotonchain) January 13, 2025
A new whale, 0x8f5, has withdrawn 280 billion Pepe tokens worth $5 million. Along with withdrawing Pepe from Binance, the whale also accumulated 47.4 million JASMY tokens worth $1.54 million a day before.
Similarly, on a bullish note, a whale, 0xb1a, has spent 3.72 million USDC USDC $1.00 24h volatility: 0.0% Market cap: $75.84 B Vol. 24h: $7.16 B to accumulate 200.4 billion Pepe. However, this whale has a history of making losses in Pepe, with the recent one amounting to $1.45 million.
Conclusion
Pepe faces significant challenges with declining network activity and bearish trends, but strong whale accumulation offers hope for a potential recovery. A breakout above $0.00001670 could signal bullish momentum, while failure to hold key support risks further downside. The coming days will be critical for the next move in Pepe.