As Bitcoin faces challenges maintaining levels above $100,000, the broader crypto market continues to experience a volatile December. Among the assets most impacted by this market turbulence are memecoins, particularly Pepe coin, known for its price fluctuations. However, recent whale activity could provide the catalyst for a significant rebound, with the coin's price showing signs of a bullish pattern within a spreading wedge formation.
Currently, Pepe Coin (PEPE) holds a market capitalization of $7.58 billion, and its 24-hour trading volume is a substantial $1.73 billion, according to CoinGecko. The price action has formed a spreading wedge, and key support levels are being closely watched. Notably, the $0.000017 mark and the 100-day exponential moving average (EMA) act as crucial points for potential accumulation, suggesting that this level may offer an ideal buying opportunity as traders look for favorable entry points.
Whale Purchases and Market Sentiment
Recent data from Lookonchain reveals that a prominent crypto whale made significant moves with Pepe coin. After liquidating all of their PEPE holdings for $11.7 million on December 19 during a market dip, the whale reentered the market just six days later. By reinvesting $24.5 million, the investor accumulated 1.42 trillion PEPE tokens, signaling renewed confidence in the asset despite previous volatility. This strategic move could help fuel a bullish rally for the coin, with the whaleโs actions potentially acting as a signal to other investors.
PEPE Price Outlook
The price of Pepe coin has been consolidating for the past six weeks, forming a widening wedge pattern. This technical formation indicates uncertainty in the market, as neither buyers nor sellers have been able to establish dominance. Despite this, the coin remains above the 100-day and 200-day EMAs, reflecting an overall positive market sentiment. If the price breaks through the upper trendline of the wedge, a sharp 77% rise could be in the cards, with a target of $0.000032. However, a fall below the support line could signal the end of the recovery, negating any bullish expectations.
With whale activity now influencing price movements, Pepe coinโs next steps could be pivotal in determining its near-term trajectory. The current consolidation phase may soon give way to a significant price surge, as long as the broader market conditions remain favorable.