Bitcoin and the overall market continue to remain dull, prompting investors to stir up high-volatility cryptocurrencies. Daily volumes have dropped to levels around 15-16 billion dollars. Amidst this shallow volatility, day traders are trying to identify altcoins that are showing positive divergence. After RUNE and YGG, now PEPE Coin and Shiba have gained momentum.
Crypto Whale Movements
PEPE, the meme coin of June, has once again started to rise after a significant period of decline. Interestingly, the latest PEPE price increase indicates a potential model that can provide insights into what to expect.
Previously, we mentioned that PEPE’s rise in June had all the characteristics of demand driven by intense speculation. This was because the memecoin was heavily hyped during that period. This time, there is less excitement, but the price has been striving for an increase for the past 4 weeks.
The common theme between the current rally of PEPE and its previous rally is the slowdown in demand for mainstream cryptocurrencies. The distribution of PEPE’s supply revealed that two of the largest whale categories have influenced liquidity in the past 7 days. The largest category consists of addresses holding over 1 billion PEPE, representing 96.54% of the circulating supply. The second largest category consists of addresses holding between 100 million and 1 billion PEPE, representing 2.88% of the total supply.
Although these two whale groups contributed to the sell-off until August 7, they have started accumulating since the beginning of the week.
Pepe Coin Analysis
The current performance of PEPE confirms that whales are once again attempting to revive the demand, as they did in July. However, there is a problem: meme coins, especially tokens like PEPE Coin, lack utility to support the rise. In other words, the only thing needed for the increase is more speculation.
Meanwhile, the similar path of PEPE and Shiba Coin is noteworthy. According to its whitepaper, Pepecoin plans to release various products, including a rug controller called Pepescan. The future also includes the release of products and games. This is reminiscent of the journey Shiba Coin has taken.
PEPE’s roadmap highlights potential growth opportunities for its ecosystem. Achieving various targets on the roadmap could create real catalysts for the price beyond speculation. Perhaps the whales have now started accumulating in anticipation of this?
