What Next For PEPE Price After 15% Price Decline?

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What Next for PEPE Price After Losing 15% Last Week? 

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PEPE price has delivered a relatively flat performance in July so far. Where will the PEPE price head next amid growing investor pessimism?

PEPE price is down 15% from July 3, dashing the hopes of bullish investors looking to build on their triple-digit gains from June. On-chain data indicates that many investors may be looking to book profit. What next for the PEPE price? 

PEPE is Struggling to Attract New Users 

Over the past week, the number of new users joining the PEPE ecosystem has declined significantly. The Santiment chart below shows 1,635 new wallet addresses opened on July 3. At the close of July 11, the figure has dropped by 47% to 863 new addresses. 

What Next For PEPE | Network Growth, July 2023
What Next For PEPE Price | Network Growth, July 2023 | Source: Santiment

Network Growth tracks the number of new wallet addresses created on a blockchain network. This estimates the rate at which the ecosystem acquires new users. When it declines, it suggests that the underlying token may struggle to attract demand in the near future. 

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The chart above suggests that the 47% decline in Network Growth has already impacted prices negatively. Evidently, the PEPE price dropped by 15% between July 3 and July 12.

Whale Investors Are Weighing Their Next Move

Furthermore, whale investors appear to be taking hawkish positions while weighing their next move. The recent 15% PEPE price drop has coincided with the whales reducing their trading activity. 

As seen below, Whale Transaction Count began to decline around July 3. Between July 3 and July 12, it dropped 71% from 152 to 44 transactions.  

What Next For PEPE Price  | Whale Transactions, July 2023
What Next For PEPE Price | Whale Transactions, July 2023 | Source: Santiment

 The Whale Transaction Count (>100k) metric aggregates daily transactions exceeding $100,000. When it declines over an extended period, it indicates that the whales are scaling down their bets on the underlying token.

Without whale investors’ liquidity and influential buying power, the price will likely continue trending downward over the next few days. 

PEPE Price Prediction: The Bears Could Target $0.0000010

PEPE price could retrace below $0.0000010 if the latest whales’ bearish sentiment triggers a sell-off.  However, according to IntoTheBlock’s Break-Even Price distribution data, the $0.0000015 resistance could offer support

Currently, the 27,000 investors have bought a total of 127 trillion tokens at the minimum price of $0.0000010. They could trigger a recovery if they desperately buy more tokens to avoid slipping into a net-loss position.

But if they sell as predicted, then the price could drop below $0.0000010.

PEPE (PEPE) Price Prediction | Break-Even Price data, July 2023 | Source: IntoTheBlock
PEPE (PEPE) Price Prediction | Break-Even Price data, July 2023 | Source: IntoTheBlock

Still, the bulls can overturn this bearish narrative if it reclaims $0.0000020. But as seen above, some of the 33,000 addresses holding 69 trillion tokens at the minimum price of $0.0000020 could trigger a recovery. 

But if the bulls push that resistance level aside, it could rise toward $0.0000025.

Disclaimer

In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions.

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