Major Whale Shifts $12.8M to PEPE Long Position, Becoming Largest On-Chain Bull

A significant whale in the crypto market has shifted $12.8 million into a long position on the memecoin PEPE, becoming the largest on-chain PEPE bull at this time. The move includes closing a prior long position on ETH with a stop-loss, signaling a strategic pivot in the trader's portfolio. The PEPE position represents a bold bet on a token that has been volatile in recent months, despite its rising social media profile. This shift comes amid increased speculation that 2026 could see a resurgence in meme coin activity according to analysis.

PEPE has gained momentum recently, rallying over 34% in the wake of influential trader James Wynn's prediction that the token could reach a $69 billion market cap. Wynn's forecast is based on historical comparisons to other meme coins like Shiba Inu and Dogecoin, which experienced sharp price surges during previous bull markets according to financial reports.

The current surge in PEPE follows a broader pattern of increased interest in meme coins. In early January 2026, several other meme coins, including CULT and FLOKI, saw notable price increases, reigniting discussions about a potential 'meme season' according to market analysis. However, despite these short-term gains, most meme coins remain significantly below their 2024 peaks, with some down over 90% according to reports.

Why Did This Happen?

The decision to shift funds into PEPE appears to align with broader sentiment that meme coins could experience a revival in 2026. James Wynn, a crypto trader known for high-leverage bets and aggressive positions, has been vocal about his belief in PEPE's potential. He argues that social engagement remains a key driver of meme coin performance and that PEPE's growing popularity on social media could lead to a significant price appreciation according to market commentary.

Wynn's prediction is based on the idea that meme coins are often the first to show signs of a larger bull market. He points to the rapid rise of SHIB during the last bull run, which went from $3.5 billion to $41 billion in under a month. If PEPE follows a similar trajectory, it could see a massive price increase over the coming months according to forecasts.

How Did Markets React?

The whale's large PEPE position has drawn attention in the market, particularly among other traders and analysts who are closely watching the token's performance. PEPE's 24-hour trading volume has exceeded $600 million, its highest level in over a month, according to CoinGecko. This increase in volume reflects growing interest in the token, which has been driven by Wynn's bullish comments and the broader market's cautious optimism about 2026.

Despite the recent gains, experts caution that meme coins are inherently volatile and should be treated as speculative assets. The broader cryptocurrency market remains under pressure, with the total market cap hovering around $2.98 trillion. Meme coins have been hit particularly hard, losing over $36 billion since October 2025 according to market analysis.

What Are Analysts Watching Next?

Analysts are closely monitoring PEPE's performance alongside other market indicators. While short-term gains are encouraging, the key to a broader recovery in meme coins will likely depend on the overall health of the crypto market. Bitcoin and Ethereum, the two largest cryptocurrencies by market capitalization, have shown limited movement in recent days, with Bitcoin trading near $87,751 and Ethereum at $2,973 according to market data.

If Bitcoin and Ethereum see sustained price increases, it could lead to a renewed appetite for riskier assets like meme coins. However, if the broader market remains subdued, the gains seen in PEPE and other meme coins may not be sustained according to market forecasts.

In the meantime, the whale's $12.8 million PEPE position represents a significant bet on the token's potential. Whether this will pay off remains to be seen, but it's a clear signal that some major players in the crypto space are optimistic about the future of meme coins in 2026 according to market analysis.