Pepe’s price Volatility Faces Steady Decline

The crypto market is still struggling to find its footing lately, and meme coins are feeling the pinch more than most. This tough market has left PEPE stuck in a slump for quite a while now. To make matters worse, the data folks are seeing on the blockchain suggests we could see another 20% price drop because buyers just can’t seem to break through the selling pressure.

Let’s talk about Pepe price. This frog-themed meme coin (PEPE) has taken a pretty big hit recently. After hitting a high of $0.000028, it’s lost about 45% of its value in just the last month.

This steep price decline understandably caused traders to start pulling back their money from PEPE, just like they’ve been doing with other assets in the market. Looking at data from Coinglass, we can see that around $1.6 million worth of PEPE positions were closed out. And get this, nearly $1.1 million of that was from traders who were betting Pepe price would go up (long positions).

According to Glassnode, those on-chain data experts, PEPE has seen a significant reduction in leverage. They point to a sharp drop in Futures Open Interest compared to what we’ve seen before in the meme coin craze.

It seems like there’s a pattern here – after meme coins get super popular, the open interest tends to drop. This isn’t just about less leverage; it might also signal that people’s feelings about meme coins are shifting.

Just to put things in perspective, Pepe price has indeed dropped 45% this month, and its futures open interest has plummeted a massive 75%, going from $1.25 billion all the way down to $249 million. And get this – IntoTheBlock’s data shows that Pepe’s price swings are actually getting smaller, dropping from a pretty wild 132.5% down to 113.4% in just the last week. This decrease in volatility might mean Pepe stays in this downtrend, and it could become even harder for it to climb back above that $0.00001 mark.

Interestingly, while the price is struggling, we’ve seen some big players, the “whales,” getting more active with Pepe recently. Large transactions jumped from a low of 105 to a high of 289 last week. This increased whale activity, while the price is holding steady, is a bit of a wild card – it could set the stage for a big price move in either direction, up or down.

What’s Next for Pepe Price?

So, what’s next for Pepe price? Well, meme coin fans are having a tough time pushing Pepe’s price above the average trading levels, which hints that there’s less buying interest as the price goes up. Right now, Pepe price is fighting to stay above $0.00001, as sellers seem to be in charge at that price point. As we’re talking right now, Pepe is trading around $0.00000929, actually up a little – about 0.8% in the last day.

Looking at the downside, if the Pepe price dips below $0.000008, the sellers could really take over and potentially drag PEPE/USDT all the way down to that critical $0.0000059 support level. Buyers are probably going to fight hard to defend this level because if it breaks and the price stays below, we could see a lot of those “long” bets get automatically closed out, pushing the price down even further.

On the other hand, if the price can bounce back from $0.000008 or even break through $0.00001 from where it is now, that could signal that the buyers are coming back. This could push the price up towards $0.0000111, and maybe even as high as $0.000015 if the momentum really picks up.