Whales Offload 1.5 Trillion Tokens Ahead of Pepe Coin Price Plunge

Pepe Coin’s price plummeted to a multi-month low, triggering a wave of liquidations as the cryptocurrency market fell sharply.

Pepe (PEPE), a well-known meme coin in the Ethereum (ETH) ecosystem, dropped to a low of $0.0000388, marking its lowest point since February 2024. This decline resulted in over $20 million in liquidations.

The crash of Pepe coincided with instability in the crypto market following President Donald Trump’s imposition of new tariffs on China. This announcement led to over $19 billion in liquidations and more than $500 billion in total market losses.

The drop in Pepe Coin occurred as whales were diminishing their holdings of the coin. Recent data indicates that whales sold more than 1.5 trillion coins between September 26 and last Friday, anticipating the price to decline.

Similarly, retail investors sold off over 2 million coins, now holding 1.67 trillion coins, down from 3.17 trillion in September.

Risky Patterns in Pepe Coin Price Drive Whale Sell-Off

A likely reason for the sell-off among whales and savvy investors is the formation of two risky patterns on the daily timeframe chart.

The latest formation is the descending triangle pattern, with its lower side at $0.0000091. Its diagonal line connects the highest swings since May 22 of this year.

Additionally, the coin has been establishing a significant head-and-shoulders pattern since May. The head of this pattern corresponded to the all-time high of $0.00002821.

The right and left shoulders are situated at $0.000016, which represents the highest points from both May of this year and last year. Furthermore, the neckline was positioned at $0.0000056, marking its lowest level since March and April this year, as well as August and September of the previous year.

As a result, it is likely that the Pepe price will continue to decline over the next few weeks, with an initial target set at the year-to-date low of $0.0000038, followed by $0.0000020.