PEPE, the popular memecoin, dropped nearly 14% on November 12, reaching $0.00000456. The sharp decline occurred even as tracked whale wallets withdrew a net $16.9 million in PEPE tokens from crypto exchanges over the last week, based on recent on-chain data.
Whale Activity Diverges From Price Action
Deep Blue Alpha, a blockchain analytics provider, reported that 47 whale wallets removed around $34.7 million in PEPE from exchanges over seven days, while depositing $17.8 million back into trading platforms. This created a net outflow of $16.9 million spread across 225 monitored transactions.
However, these numbers only reflect the movement of tokens between major wallets and exchange addresses. They do not directly confirm whether actual buying or selling occurred, nor do they account for transactions from unmonitored investors or off-exchange activity.
Within the most recent 24-hour period, these whale wallets deposited about $8.6 million in PEPE back onto exchanges, while withdrawing only $4.6 million. This trend reversed the previous week’s net withdrawal, resulting in $4 million more tokens deposited than withdrawn over the last day.
Some analysts interpret this shift as a possible signal that large holders are seeking more trading liquidity, although deposits alone do not prove that tokens were sold.
Large whale transfers to exchanges during periods of price gains have previously fueled speculation about potential selloffs, creating a disconnect between on-chain activity and price direction.
Mini dictionary: Deep Blue Alpha is a blockchain analytics firm that analyzes large wallet activities, token flows, and trends in cryptocurrency markets to help institutions and investors assess exchange risk and trading behavior.
Derivatives Liquidations Add Downward Pressure
Derivatives data indicates forced liquidations contributed to the steep PEPE decline. In the past 24 hours, about $2.62 million in PEPE futures positions were liquidated, with leveraged long traders comprising approximately 94% of the losses.
Open interest in PEPE futures contracts dropped about 10% to reach $339 million, while funding rates turned negative—signaling that short sellers were paying to maintain their bearish positions.
This combination implies that over-leveraged bullish traders closed their positions as the price fell, fueling additional selling. Yet, falling open interest can also reflect lower token prices, not just the closure of positions.
| Metric | Latest Value | Previous Period |
|---|---|---|
| PEPE futures liquidations (24h) | $2.62 million | N/A |
| Leveraged longs share | 94% | N/A |
| Open interest | $339 million | $377 million |
| Funding rate | Negative | Positive |
Key Support and Resistance Levels in Focus
PEPE currently holds support near $0.00000450, which aligns with its recent intraday low. A break below this level could see the price test $0.00000420, although this remains a conditional downside reference instead of a confirmed target.
To challenge the recent downtrend, PEPE would need to reclaim $0.00000485 for a potential recovery. The $0.00000500 level is seen as an important psychological barrier for bulls.
Wider memecoin markets, including Dogecoin, have experienced similar selling pressure in recent weeks, amplifying the impact of declines in the broader cryptocurrency market.
Past instances of large whale withdrawals failed to prevent deeper corrections in PEPE, highlighting the risks of relying solely on exchange outflows as bullish indicators.
Despite whales withdrawing significant sums from exchanges, PEPE fell sharply as liquidations and renewed exchange deposits widened the gap between on-chain flow data and market price action. The memecoin now tests critical support levels amid ongoing volatility.
