- PEPE has become the third-largest memecoin, with a market cap of $3.3 billion and a daily trading volume of $1.4 billion.
- A trader who invested $200,000 in PEPE in October 2023 sold their holdings for $1.97 million in July 2024, achieving an 886% return.
PEPE, an Ethereum-based memecoin, has swiftly ascended to become the third-largest in its category, boasting a market capitalization of around $3.3 billion and an average daily trading volume of around $1.4 billion, and has attracted over 279,000 on-chain holders. The coin’s high liquidity, exceeding $35 million locked through Ethereum-based smart contracts, has made it a preferred choice for speculative traders.
Drawing inspiration from the iconic “Pepe the Frog” character, PEPE has managed to capture the attention of a diverse investor base. This token’s cultural significance and its current standing in the market show how investors can approach the memecoin environment with more confidence.
Crypto Whales Accumulate PEPE Tokens in Anticipation of Bull Run
According to recent data from Lookonchain, many investors have been accumulating more of PEPE, which indicates confidence in the token’s future prospects. One investor’s experience with PEPE is a notable example of the potential for substantial returns in the memecoin market. On October 25, 2023, this trader bought 170 billion PEPE tokens with 200,000 USDC.
Despite enduring several months of market fluctuations, the trader sold their holdings on July 25, 2024, for 1.97 million USDC. This transaction produced an outstanding return on investment of 886% and produced a profit of about $1.77 million. These success stories illustrate how PEPE has endeared itself to investors who are ready to invest in the volatile memecoin market.
Additionally, Lookonchain revealed that an address associated with Ceffu, a prominent custody and liquidity provider for institutional investors, acquired 1.48 trillion Pepe tokens, valued at over $11.6 million, from the Binance exchange. This purchase underscores the growing interest in Pepe among institutional players, who are positioning themselves ahead of a potential altseason.
A wallet related to #Ceffu withdrew 1.48T $PEPE($11.6M) from #Binance just now.https://t.co/H9anq20RUY pic.twitter.com/TTq3BVtVoo
— Lookonchain (@lookonchain) August 29, 2024
Another whale was also spotted making a significant Pepe purchase. A crypto trader who previously made $1.77 million from Pepe spent $1.34 million in USDC to acquire more Pepe tokens. This activity highlights the continued interest in Pepe among seasoned traders despite the broader market’s cautious stance.
Short Positions Dominate PEPE Market
Further analysis of the market reveals a growing sense of indecision among traders. According to the Coinglass Crypto Derivatives Visual Screener (CDVS), open interest in PEPE dropped 4.3% over the past 24 hours despite a minor price increase of 0.14%. This decrease in open interest suggests that traders are unsure whether to maintain their positions or exit the market.
Adding to this uncertainty is the Coinglass Liquidation Map, which shows more short positions than long ones. This imbalance indicates that a significant portion of the market is betting on a further decline in Pepe Coin’s price. The dominance of short positions over longs points to a bearish sentiment that could drive the price down if market conditions remain unchanged.
