PEPE Poised for a Comeback: On-chain Data Provides Insights
The PEPE meme coin, which had faded into obscurity amidst the rise of new meme coins like BONK and others in the Solana ecosystem, might be gearing up for a comeback. As the hype around these new coins begins to subside, attention is once again shifting towards established market leaders like PEPE.
On-chain indicators can provide valuable insights into investor interest in a particular cryptocurrency, and in the case of PEPE, these indicators are showing positive signs. Weighted Sentiment, one such indicator, measures sentiment across social media platforms and can shed light on how investors perceive a coin.
This indicator has proven useful, especially in uncertain market conditions where it’s difficult to predict a coin’s price movements. By monitoring what investors are saying about PEPE on platforms like X (formerly Twitter), it’s possible to gauge where the price might be headed.
According to Santiment, an on-chain analytics tracker, the Weighted Sentiment for PEPE is currently reflecting a bullish outlook. The indicator takes into account mentions of PEPE on social media over the past week, and it shows a notable increase in positive sentiment associated with the meme coin.
While it may not be the highest level observed since the beginning of the year, the sentiment is still relatively high, indicating a shift in overall sentiment. This aligns with a significant increase in holdings among the largest PEPE whales, suggesting an inclination to accumulate at current levels.
In addition to the Weighted Sentiment, the daily trading volume for PEPE has also seen a significant boost. According to CoinMarketCap data, the meme coin’s trading volume has increased by around 62% in the past day, reaching $89.8 million at the time of writing.
A surge in trading volume can signal either buying or selling activity. However, considering that the price of PEPE has remained stable during this period, it suggests a greater inclination towards buying. If this bullish sentiment persists, it could indicate potential support being established at $0.0000009 and a potential recovery towards $0.000001, equating to a 10% increase.
Following its recent decline, PEPE has slipped from being the third-largest meme coin to the fifth position, currently trailing behind coins like BONK and CorgiAI.
In conclusion, with positive on-chain indicators, including an uptick in Weighted Sentiment and increased trading volume, PEPE appears to be showing signs of a possible comeback. As attention refocuses on established market leaders, PEPE could reclaim its position and experience a recovery in value.