The frog-themed memecoin, Pepe (PEPE) seems poised for a bullish breakout given the increase in Open Interest. This metric has soared by 7.85% in the past 24 hours, pegging it at $114.3 million. The figures suggest that PEPE’s whales are up to something, possibly for new money entering long positions.
Increasing Open Interest: A Bullish Signal?
As per Coinalyze data, PEPE Open Interest tops OKX with over $103 million. The PEPE trading volume on Huobi comes in at $4.9 million while BitMex and Kraken come in at $3.3 million and $3.1 million respectively.
Notably, the increase in PEPE’s Open Interest coinciding with the rising price is a bullish confirmation of a sustained bullish trend. The whales may be angling for ways to take advantage of prevailing market conditions to profit from price movement in the long term.
According to data from CoinMarketCap, at the time of writing, PEPE is up by 1.23% in the past 24 hours to $0.00001446. The data reveals that although its Market Cap grew by 1.2% to $6.09 billion, the trading volume dropped by $1.24 billion, a 15.37% dip.
Generally, a fall in volume change hints that long position holders are exiting signaling a potential bearish trajectory or existing shorts are covering positions with a potentially bullish signal as market pessimism fades.
Whale Activity Amidst Skepticism
A whale investor recently earned a substantial 15,718x gain from a meager investment of $3,000 in PEPE in April 2023. The current value now stands at over $46 million dollars as reported by Crypto-Vanguard. The whale bought 4.9 trillion PEPE tokens at the time but only sold off 1.14 trillion tokens to rake in such profit.
Interestingly, despite the “collective delusions” label by Justin Bons, the founder of Cyber Capital on Pepe, Dogecoin, and Shiba Inu, PEPE price has remained unaffected over the past week. Notably, Bons clarified that his categorization was a wake-up call for innovators to improve on their operations.
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