3 Reasons Why the Price of Pepe Coin Could Drop by 57%

Pepe coin has been facing significant challenges recently, leading to a bearish trend in its price. However, there are three key factors that suggest further trouble for PEPE.

Firstly, whale activity and CoinGlass data indicate a lack of confidence among large holders. Massive withdrawals from exchanges signal a selling mentality, which could trigger a sell-off if retail traders follow suit.

Secondly, the OI-weighted funding rate has dipped into negative territory, indicating that short positions outnumber long positions. This shift in market sentiment is concerning for PEPE holders, as it suggests traders are betting on a price decline.

Thirdly, Santiment's on-chain metrics provide additional bearish signals. The age-consumed metric shows significant spikes, indicating large movements of older tokens and a lack of confidence in PEPE's future performance. Additionally, the supply of PEPE on exchanges has increased, putting selling pressure on the token.

Furthermore, the accumulation of top non-exchange addresses has declined, suggesting that major investors are not buying more PEPE. This further undermines the bullish prospects of the token. Moreover, frequent and significant whale transactions indicate heightened selling pressure from major holders.

Adding to the bearish cues is the descending triangle pattern, a bearish technical setup. The token is currently testing the support trendline of the pattern, which could result in a breakout confirming the bearish setup. Market analysts consider this pattern a bearish continuation signal, suggesting a potential price target near $0.00000375, which would be a 57% drop from the current price.

In summary, the combination of whale activity, on-chain data, and the bearish technical setup suggests that the price of Pepe coin could drop significantly in the near future.