Pepe (PEPE) token is seeing massive accumulation despite the price drop. The data shows that some traders are withdrawing a lot of PEPE from Binance, despite the 60% depreciation in the last 48 hours. Could Pepe be the next big altcoin?
Altcoin whales collect tons of PEPE
One of the whales bought Pepe 1.4 trillion worth $2.76 million from Binance at the price of $0.000002054. The second whale has accumulated 212 billion PEPE worth $429,000 using Ethereum.
The third whale has bought 424 billion Pepes, with a total value of $864,000, according to data shared by Lookonchain. The average purchase price was $0.000001957.
3 whales started to buy $PEPE after the price dropped.
0x50C1 withdrew 1.4T $PEPE($2.76M) from #Binance when the price was $0.000002054.
0x2Baa bought 212B $PEPE($429K) with 223 $ETH($412K) at $0.000001942.
0x3AE8 bought 424B $PEPE($864K) with 450 $ETH($831K) at $0.000001957. pic.twitter.com/Y3wFOshkDI
— Lookonchain (@lookonchain) May 9, 2023
Meanwhile, excluding exchanges and contract addresses, PepeCoin’s 15 largest whales have a significant share of the total circulation. In total, they hold 38.07 trillion PEPEs, representing 9.05% of the entire circulating supply. These PEPE whales have generated a remarkable return on investment, with total profits of $92.6 million.
With all the developments, Pepe has been in the focus of crypto headlines for the past month. So, is this 2,100% rising altcoin really a good buying opportunity?
Motley Fool analysts evaluate Pepe Coin
As the cryptocurrency market continues to recover in 2023, it can be tempting to chase new trends. Dogecoin was the crown jewel of meme coins in the last bull market. This time, however, a new token, PEPE, is gaining popularity. PEPE is up 2,100% since it first started trading in mid-April.
One example of coins making headlines and then losing their power is seen in the story of Dogecoin. Although it started out as a joke, Dogecoin saw a huge surge in popularity in early 2021. During the year, its price increased more than 8,100% in just five months. However, the hype was short lived. As soon as the price of Dogecoin rose, it plummeted, inflicting significant losses on many investors. Motley Fool urges analysts to be wary of a similar scenario.
However, the value of a cryptocurrency is linked to its use case. For example, such cryptos as Bitcoin and Ethereum have legitimate uses. At the same time, they are supported by a strong network of developers and users. They have stood the test of time and have proven to be a reliable investment for many. Unlike these blue-chip cryptocurrencies, which show use cases in a variety of applications, the value of PEPE is purely speculative. Therefore, its price is likely to be much more volatile and subject to dramatic fluctuations.
It’s appealing to everyone to capitalize on the hype surrounding PEPE. However, investors should be careful before investing in such projects. Simply put, the risks far outweigh the potential rewards.
PEPE price in free fall
PEPE is currently losing more than 30% for the second consecutive day. At the time of writing, it is trading in the 0.000001182 support zone, which it reached after the sharp decline. As we quoted as Kriptokoin.com, some analysts predict that it will go to zero.
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