Over the past week, PEPE’s trading volume has drastically decreased; however, this is a market-wide occurrence with no particular ramifications for the meme token.
In the last day, PEPE has increased by 0.5%, reaching $0.000009001 on a day when the cryptocurrency market as a whole has increased by 1%.
In the last day, major tokens like Bitcoin (BTC), Ethereal (ETH), and Solana (SOL) have increased by more than 2%, while Dogecoin (DOGE) has increased by 6% as a result of Elon Musk’s support for Donald Trump’s campaign.
The 30th-largest coin in the market, PEPE, has only managed a small portion of this rise, falling 14% in a week and 17% in a month.
Despite a significant decline in volume over the last week, PEPE maintains a 640% annual gain, highlighting its position as a preferred vehicle for whales and other large traders.
Is PEPE Losing Steam? Trading Volume Drops 35% as It Struggles to Stay on Top
Today, PEPE is shifting into a more optimistic outlook, indicating that a breakout may be imminent.
Its purple relative strength index has rebounded to 50 after dropping to 20 over the weekend, indicating a rise in buying pressure.
After a prolonged decline below the 200-period average (blue), its 30-period moving average (orange) has leveled out, indicating that the coin is about to enter a more bullish phase.
However, the trading volume of the meme token reveals a different picture.
There has been a significant medium-term decline in demand, as evidenced by the 35% drop in just one week and the substantial 60% drop in just one month.
PEPE holders may find this concerning, but it is interesting to note that BTC’s 24-hour trading volume has decreased by 37% in just one week.
Put another way, we are dealing with a decline in demand across the board, which is typically bad, but low liquidity can allow for significant upswings.
🚨 1,279,959,528,068 #PEPE (11,510,036 USD) transferred from unknown wallet to #Binancehttps://t.co/qlK9P64wo4
— Whale Alert (@whale_alert) October 28, 2024
However, they can also make a coin susceptible to significant declines; just hours ago, one whale sent Binance 1.28 billion PEPE.
A more optimistic interpretation is that the whale is merely preparing for a future upswing that they will then profit from, but this could also indicate that the coin will experience additional losses in the hours ahead.
In any case, PEPE and the larger market appear to have a bright future ahead of them, which could be bolstered by Donald Trump’s victory in the US election next week.
Trump is generally regarded as more crypto-friendly than his rival, Kamala Harris, so a victory for the former president could lift prices across the board.
In such a context, PEPE could reach $0.0000150 by the end of next month.
More Bullish Pepe Coin on the Horizon
PEPE is probably going to keep doing well in the near future, but eventually its size and maturity might prevent it from holding large rallies.
Because of this, traders might decide to diversify into more recent meme coins, such as some of the larger presale tokens that have the potential to rise sharply upon their initial listing.
A prime candidate to do this is layer-two project Pepe Unchained (PEPU), which has raised a highly impressive $22.9 million in its ongoing token offering.
$22M!!!
— Pepe Unchained (@pepe_unchained) October 23, 2024
Just wait until you see what's cooking 😉 pic.twitter.com/4Wuhy2bfyL
Ethereum’s layer-two network, which Pepe Unchained is developing, offers 100 times faster transactions and lower fees than its underlying layer-one network.
Its goal is to develop into an ecosystem for meme tokens, which were among the most popular developments in 2024.
Due to the platform’s scalability, it will offer twice as many staking rewards as a typical Ethereal-based coin, which will help draw users and investors.
This will increase the motivation to hold PEPU over the long run, and since the coin already has a lot of use for transaction fees, there may be a lot of demand for it.
Its supply is limited to 8 billion PEPU, of which 20% will go to the ongoing presale and 30% will go to staking.
Perhaps most bullishly of all, the coin’s X account now has over 13,000 followers, a sign of how big its community could become.
New investors can still join PEPU’s sale at the coin’s official website, with the coin now selling at $0.01179.
This price will increase several more times before the sale ends, at which point it will list on exchanges, where it looks ready to surge.