Whale profit-taking and rising market uncertainty weigh on sentiment
The PEPE token experienced a sharp 7% decline over the past 24 hours, reflecting the broader pullback in the memecoin sector. The downturn coincides with heightened trading volumes and growing investor caution, as whales reportedly offload positions following weeks of speculative inflows.
At the time of writing, PEPE/USDT is trading around $0.000000934, hovering near its major support zone highlighted on the daily chart. This level, positioned between $0.00000090 and $0.00000095, has previously acted as a critical accumulation area during May and July. The token’s repeated rebounds from this zone indicate the presence of strong buying interest, though momentum appears to be fading in the short term.
Overhead, immediate resistance lies between $0.00000120 and $0.00000140, a region that rejected price advances multiple times since late August. A confirmed break below the current green support area could expose PEPE to a deeper retracement toward $0.00000075, while a successful bounce could trigger a short-term recovery phase.
“The current chart structure suggests exhaustion among retail traders,” According to BITX independent market analyst. “With volumes increasing but prices falling, it’s likely that larger holders are distributing into strength rather than accumulating at these levels.”
The weakness in PEPE mirrors similar moves across the memecoin market, where major tokens like DOGE and SHIB have also seen mild corrections. Analysts attribute the trend to profit-taking, combined with growing geopolitical tensions and reduced risk appetite in the crypto sector.
BITX market strategist noted, “Memecoins are often the first to react when liquidity tightens. What we’re seeing is a natural cooling after an overheated speculative phase. However, the long-term holders continue to view PEPE as a high-volatility play with cyclical upside potential.”
For now, PEPE’s defense of its support range remains crucial. A rebound supported by strong volume could signal renewed optimism, but a breakdown might confirm a deeper market correction. The coming days will be pivotal as traders watch whether PEPE can stabilize amid a shifting risk landscape.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.