Meme Coin Pepe Drops 3.3% Amid Bearish Trends and Whale Exits

Pepe, a meme coin, has experienced a 3.3% decrease in price over the past week, mirroring the broader downturn in the meme coin market. On-chain metrics indicate a bearish trend, with whales exiting their positions and taking losses. The number of "in the money" wallets holding Pepe has decreased by 7%, and large transaction volumes have dropped by 5%.

The MVRV Z-score, which measures the proportion of crypto wallets holding Pepe that are currently under water, has reached negative levels and has been declining since late May. This metric suggests that whales may be capitulating and selling their holdings, potentially due to changing expectations about the token's near-term upside potential. The armed conflict between Iran and Israel could have contributed to this dynamic.

Despite the bearish indicators, Pepe could still rise to $0.00001300 if it bounces off the key support level at $0.00001000. A break below this level could risk a significant drop to the $0.00000800 area. However, this price drop could also present an opportunity for whales to accumulate more tokens at the lower price. A break above $0.000011 could push the token to the $0.00001300 area in the near term. The Relative Strength Index (RSI) has moved above the 14-day moving average, signaling that positive momentum is building up.

Meme coins in the Solana ecosystem have been increasing their market value despite the overall negative sentiment in the market. A new layer-2 scaling solution called Solaxy (SOLX) has emerged to help the Solana blockchain keep up with rising transaction volumes. Solaxy aims to eliminate congestion issues by bundling transactions offline before sending them to the mainnet, increasing the efficiency of every block. The mainnet launch is planned for early July, just a couple of weeks after Solaxy’s presale ends. The utility token of this solution, $SOLX, could skyrocket once top wallets and exchanges start to adopt Solaxy. The project offers attractive staking rewards of 76%.