Pepe Coin (PEPE) is currently attracting significant attention as whale activity surges by 73%, with large transactions totaling $141.81 million within 24 hours. This spike coincides with PEPE testing a critical flag support level, suggesting a possible bullish reversal in the memecoin’s price trajectory.
Whale Accumulation at Key Support Levels
On-chain data reveals that PEPE whales—large holders of the coin—are actively accumulating at a crucial support zone marked by a flag pattern. This support level recently rejected downward pressure, leading to a notable 4% daily price increase. Such whale accumulation at key technical levels often indicates confidence in a price rebound, as whales tend to buy when prices are perceived as undervalued or poised for an upswing.
This behavior contrasts with earlier bearish signals from long-term holders, highlighting whales’ role in stabilizing and potentially driving PEPE’s price upward.
Rising Open Interest and Liquidity Clusters Reinforce Bullish Outlook
Further strengthening the bullish case is a sharp increase in PEPE’s Open Interest—the total number of active futures contracts—which signals growing market participation and anticipation of significant price movement. When combined with heightened whale activity, this suggests traders are positioning for an upward breakout.
Additionally, liquidity heatmaps show concentrated clusters of leveraged short positions at higher price levels. These clusters typically act as magnets for price action, as markets seek to trigger liquidations and capture liquidity. If PEPE’s price breaks above these clusters, it could force short sellers to cover, amplifying the upward momentum.
Also Read: PEPE Price Prediction: Can It Break Above the $0.000013 Resistance? – Analyst
Conclusion: A Potential Bounce Could Ignite a Powerful Rally
The convergence of increased whale transactions, supportive technical patterns, rising Open Interest, and liquidity cluster dynamics paints a promising picture for PEPE. The memecoin appears poised for a bullish reversal following its test of a critical flag support. If this bounce holds, it may spark a significant upward move, especially if market sentiment continues to improve. Investors and traders should watch these indicators closely as PEPE navigates this pivotal juncture.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
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