12 Aug
12Aug

A prominent cryptocurrency whale has been making significant moves in the memecoin market, specifically targeting Pepe (PEPE/USD), despite recent market turbulence.

Whale Accumulation of Pepe

According to on-chain tracking platform Spot On Chain, a notable investor using the address “cookislandstrust.eth” has been actively accumulating Pepe tokens. Over the past week, this whale invested a substantial 3.13 million Tether (USDT/USD) to purchase a staggering 420 billion PEPE tokens. These acquisitions occurred during recent sell-offs, including one last Monday and another in the past few hours, resulting in a profit of approximately $170,000, representing a 5.4% increase.

Rising Transaction Volume and Long-Term Holdings

The buying frenzy extends beyond a single investor. Data from IntoTheBlock reveals a 161% increase in on-chain transactions of PEPE exceeding $100,000 in the last 24 hours, signaling heightened interest from large investors. Additionally, long-term PEPE holders have seen their holdings increase by 0.07% in the same period, reflecting a trend of accumulation.

In contrast, other memecoins such as Dogecoin (DOGE/USD) and Shiba Inu (SHIB/USD) have not experienced similar growth. Dogecoin has seen a decline in long-term holders' balances, while Shiba Inu’s long-term holdings have only increased marginally.

Market Context

The increased whale activity in PEPE comes amid broader market volatility. Major cryptocurrencies like Bitcoin (BTC/USD) and Ethereum (ETH/USD) experienced significant declines on Sunday, driven by escalating geopolitical tensions in the Middle East following a missile attack on Israel by Hezbollah. Despite the downturn in leading cryptocurrencies, the rising demand for Pepe suggests a level of investor confidence in the memecoin’s potential amidst the uncertainty.

Conclusion

The recent accumulation of Pepe by a significant whale, coupled with a surge in large transactions and long-term holdings, highlights the growing interest in the memecoin. This trend occurs against a backdrop of broader cryptocurrency market instability, underscoring the unique dynamics within the memecoin sector as investors navigate through turbulent times.

August 2024, Cryptoniteuae

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