Pepe Coin (PEPE) Jumps 5% Amid Market Drop as Whales Scoop Up $8.7M in Tokens

• Whales bought $8.7M worth of Pepe Coin with a fresh wallet, removing 500B tokens worth $4.3M from Binance.
• PEPE increased 13% in a week, breaking above the 50-day EMA and the $0.00000852 resistance level.
• Open interest hit $324M, and exchange reserves declined 0.73% to 240.7T tokens.

Whales began purchasing millions of Pepe Coin (PEPE), defying the broader market downturn with a 5% rally. A new wallet address withdrew 500 billion PEPE, valued at $4.3 million, from Binance, on-chain tracking website Spot On Chain reported. 

The move follows another significant withdrawal by an early buyer who previously secured over $7 million in profits from PEPE. The buyer bought 506.2 billion PEPE worth $4.4 million from Binance, increasing his holdings to 699.8 billion PEPE worth $5.11 million. The investor now holds an unrealized profit of $164,000, an increase of 2.8%.

More whales are accumulating $PEPE!

Just now, a newly created wallet withdrew 500B $PEPE ($4.3M) from #Binance.https://t.co/g2ytaY0lOD https://t.co/0MR9kRpkCA pic.twitter.com/Ev0WusaIji

Pepe Coin Shows Strong Price Momentum

Pepe Coin has recorded significant price movements over recent months. The token surged more than 13% in the past week and is currently trading at $0.00000852 after surpassing the 50-day Exponential Moving Average (EMA). The breakout suggests a potential bullish reversal, raising expectations of a further price rally.

According to analyst Satori, that if current indicators keep rising, the broken resistance may turn into strong support. Moreover, the price of PEPE surpassed the upper Bollinger Band, signifying increased volatility. Analysts believe the token may establish a new support level if its upward trend continues.

Market analysts suggest that PEPE is set for a potential explosion and are urging investors to accumulate in anticipation of a massive breakout. With strong support and outperforming other meme coins, analysts are predicting a potential 100% rally. The rally coincided with futures open interest hitting its highest level since February 2, at more than $324 million from a monthly low of $166 million.

PEPE Exchange Reserves Drop 0.73%

PEPE’s rally is consistent with growing investor accumulation. Exchange reserves have declined 0.73% in the past week to 240.7 trillion tokens, indicating that holders are moving assets off exchanges, often a sign of long-term bullish sentiment. Reduced exchange reserves suggest investors intend to hold rather than sell.

On-chain data further indicates that PEPE’s most profitable holders continue to hold their positions. Its most profitable trader has realized gains of $607,000 and is still holding 91% of his tokens. The next three top traders are holding nearly 100% of their holdings, a confidence builder for Pepe Coin’s upside. 

The meme coin’s resurgence aligns with an overall improvement in crypto sentiment. The Crypto Fear & Greed Index has climbed from a low of 18 earlier this month to 34, exiting the “extreme fear” zone. The rise shows growing Optimism with the overall market cap for the cryptocurrencies approaching $3 trillion.

Read More: PEPE Gears Up for a Breakout: Consolidation Phase Sets the Stage for a Major Move