PEPE Slips 6% as Whale Accumulation Rises and Technicals Eye a Potential Bounce

TL;DR

•  PEPE dropped nearly 6% in 24 hours amid broader market jitters.
  
•  Whale wallets grew their PEPE holdings by over 5% in one month.
  
•  PEPE is forming a descending channel, signaling ongoing sell pressure.
  
•  Key support found at $0.00000965, with resistance at $0.0000106.
  
•  PEPE’s supply on exchanges hit a 2-year low, indicating potential accumulation.
  

Market Volatility Sends PEPE Tumbling

The memecoin PEPE (PEP) slid nearly 6% within 24 hours on July 4 as broader market volatility took hold ahead of the U.S. administration’s reciprocal tariffs deadline, pressuring risky assets. The decline is part of a 16.5% trading range, highlighting the token’s vulnerability to macroeconomic catalysts, especially during periods of reduced liquidity.

As investors pulled back, PEPE struggled to maintain support levels, but trading activity revealed underlying accumulation trends that suggest this may not be a simple bearish collapse.

Whales Are Buying the Dip

Despite the short-term price weakness, blockchain data from Nansen shows that whale wallets—large holders typically defined as those with significant on-chain influence—have been increasing their PEPE positions. Holdings among these addresses grew by over 5% in the last month, now representing tokens valued at $3 billion.

This equates to more than 70% of PEPE’s circulating supply, according to Nansen’s July 2025 dashboard, suggesting whales are either long-term bullish or preparing for strategic flips during a potential rebound.

PEPE Key Market Metrics

Technical Analysis: A Struggle for Support

From a charting perspective, PEPE is trading within a descending channel, a classic bearish pattern characterized by lower highs and lower lows. According to CoinDesk Research, the price has repeatedly failed to break through the $0.0000106 resistance level, while support around $0.00000965 continues to hold.

Trading volume trends suggest sellers are exiting positions into price spikes, a sign of distribution. However, sporadic volume surges from interested buyers indicate that some traders are positioning for a bounce should the macro outlook improve.

While PEPE has been unable to regain upward momentum, its exchange supply dropping to a two-year low could be bullish if interpreted as investors moving tokens to cold wallets—often a precursor to long-term holding.

Macroeconomic Headwinds: Tariffs Stir Risk-Off Sentiment

The decline in PEPE mirrors broader risk-off behavior in crypto markets as geopolitical pressure increases. Investors are particularly wary of Trump’s reciprocal tariffs, which may lead to capital flight from speculative assets.

Memecoins like PEPE, known for their volatility and retail-heavy participation, are often the first to correct in such environments. Yet, they can also rebound sharply on renewed sentiment, making technical positioning all the more critical.

Exchange Supply Suggests Accumulation

A standout signal comes from on-chain activity: the total PEPE held on centralized exchanges has dropped nearly 3% since July 1, down to just 247.2 trillion tokens, the lowest level in two years. This signals reduced immediate selling pressure, as fewer tokens are readily available to market sell.

If paired with increasing whale wallet concentrations, this movement reinforces the view that strategic players may be positioning for a recovery rather than an exit.

Bounce Potential Hinges on Sentiment Shift

While the technical picture remains fragile, all is not lost for PEPE bulls. Short-term rebounds have occurred when volume spikes coincide with support zone tests, indicating some appetite for risk is still present in the market.

If macro conditions stabilize, or if speculative flows return—often triggered by social media hype, influencer campaigns, or even rival memecoin activity—PEPE could experience a technical bounce back toward $0.000011 or higher.

However, failure to hold support around $0.00000965 could open the door to further downside, particularly if whale behavior shifts or exchange balances rise again.