Pepe Coin (PEPE) may be heading toward a price drop as technical signals and on-chain data turn bearish.
With large holders decreasing their positions and a descending triangle forming on the charts, questions are rising around whether PEPE coin can hold its current support levels.
The market is now following as whale netflows have dropped 97% in just a few days, raising the possibility of a 30% price correction.
PEPE Whale Netflows Drop Sharply as Distribution Phase Intensifies
Large holders of PEPE coin have been reducing their holdings sharply. Data from IntoTheBlock shows that whale netflows dropped from 3.77 trillion PEPE to 95.44 billion within seven days.
This drop of over 97% suggests that whales are entering a distribution phase rather than accumulation.
The decrease in whale activity is also limiting buy-side support. When large holders exit their positions, it often signals a lack of confidence in short-term price growth.
The current PEPE price is around $0.0000117, showing a 6% gain in the past 24 hours, but this rise may not hold.
If whale behavior continues to follow this trend, the lack of strong accumulation could result in lower support zones being tested in the near term.
Source: IntoTheBlock
This data also implies that whales may be waiting for lower price levels before re-entering. The ongoing distribution creates a vacuum of demand that could cause the PEPE price to slip below $0.0000106.
If that occurs, PEPE coin could drop toward the projected target of $0.00000750 based on the descending triangle formation.
Mixed Market Sentiment as Traders Await Breakout Direction
Despite the bearish technical signals, some traders are still taking long positions. The global long/short ratio over the last 24 hours stands at 1.0052.
This indicates a nearly balanced market, with just slightly more long trades than short ones. On Binance, the sentiment remains neutral, while on OKX, the long/short ratio is at 2.34, showing a strong long bias among users there.
Open interest is also up 5.77%, now at $518.73 million. This increase suggests new positions are being opened, but trading volume has dropped by 33.05% to $2.48 billion.
Lower volume during rising open interest often signals that traders are waiting for a breakout direction.
Source: CoinGlass
Recent liquidation data shows more short trades being closed. Over the past 12 hours, shorts worth $178.70K were liquidated, compared to $78.89K in long liquidations.
Over 24 hours, both longs and shorts saw similar liquidation levels, suggesting that the market lacks strong conviction in either direction.
Technical Indicators Show Weak Momentum for PEPE Coin
According to TradingView data, PEPE coin is currently trading at approximately $0.000001108, just above a key support zone at $0.00000107.
This is a bounce point in the past, and the present price action is printing small-bodied candles, which is a sign of the market being indecisive with limited buyer interest.
On the daily chart, PEPE coin is developing a descending triangle, which is an indication of the potential advancement of the bearish trend.
The MACD indicator is still in the negative territory, but the histogram is narrowing, indicating dwindling bearish momentum.
The bullish crossover is possible in case of stable conditions. The RSI stands at 39.27, bouncing off the oversold territory but remaining below the neutral 50 mark.
Source: TradingView
As long as PEPE price cannot sustain above the $0.00000107, a further drop to the next support level of $0.00000100 is likely.
However, a MACD crossover and a close above 0.00000115 with increased volumes may indicate a short-term recovery. The market structure is currently bearish although consolidation signs are beginning to show.
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