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Whale's Massive Sell-Off Sinks PEPE Coin by 20% in Two Days

Coin WorldMonday, Jan 27, 2025 2:04 pm ET

1min read

Pepe Coin's price has experienced a significant crash in recent days, with a 14.14% drop in market value within 24 hours. This decline was not an isolated incident but rather the result of a large-scale sell-off by a whale, who dumped 430 billion PEPE coins, worth $6.39 million, and pocketed a $5.82 million profit.

The sell-off occurred as PEPE traded at $0.0000133, which is 48% below its post-election peak. This massive sell-off by a single wallet triggered a 20% crash in just two days. Despite the recent decline, PEPE is still up 56% from its election price, leaving room for further profit-taking if the memecoin does not reverse its trend.

Analysts warn that if PEPE does not reverse its course, another 27 trillion coins bought at $0.000009 could be at risk of a sell-off, putting $243 million in danger. Since the election cycle, the top 10 addresses have reduced their PEPE holdings by 16.74%, now down to 166.88 trillion, matching the price drop from its all-time high of $0.00002825.

The question on everyone's mind is: what happens when a memecoin loses its whale backing? Is this the end game for PEPE? As whales start distributing their holdings, the impact on the market is massive, with millions lost by retail investors. Just look at the Futures data: $7.83 billion in long positions were wiped out, sending Open Interest (OI) plummeting by 17%. Trading Futures is now a high-risk game.

A huge wave of liquidity is about to hit the market, with trillions exiting the big wallets. Until we see a re-accumulation phase, predicting PEPE's recovery is tough, and it doesn't look like that's happening anytime soon. If more whales start taking profits, the memecoin could be in its end game. With billions on the line and volatility rising, investors should proceed with caution.

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