- PEPE token price slid 2%, hinting at another leg down.
- The price avalanche was initiated by a whale dump.
- Supply on exchanges grew parallel to the price slide, but overbought RSI could lead to short-term relief.
YEREVAN (CoinChapter.com) – Pepe token price slid 2% on Sep 15, reaching $0.00000066 ahead of the New York session, another 2% above the 4-month low of $0.00000064. Notably, the latest slide totaled the coin’s quarter-to-date losses at 65%.
Whales continue to dump PEPE
As CoinChapter reported in the previous PEPE review, Q3 losses were accompanied by a massive whale dump, which continued as of Sep 15. Interestingly, addresses holding 100 million – 1 billion coins, unloading their tokens in Q3, possibly influencing the price. However, smaller addresses holding 10,000-100,000 coins increased their share in the same period.
As a result, the whale cohort receded from around 54,000 wallets in early July to 49,000 in mid-September.
Should the trend continue, the token could see more losses ahead, possibly losing the support of the $0.00000064 line.
PEPE supply on exchanges rose parallel to the price decline, backing the bearish outlook.
Furthermore, Bitcoin and the leading altcoins continue to remain strictly range-bound, facing macroeconomic challenges, such as hotter-than-expected August inflation and the continuous liquidity crunch. Thus, if the crypto sector crabs, the increased selling pressure on PEPE will likely result in further losses.
The RSI offers a short-term hope
As the chart above demonstrates, the meme coin’s relative strength index (RSI; purple graph at the bottom) charted through the oversold territory since Sep 9. In short, dropping below 30, the RSI signals an opportune market entry point, as it shows the asset is undervalued.
If enough traders see the oversold PEPE as a BUY, the token price could subsequently increase.