- The meme-based cryptocurrency $PEPE experienced a significant price drop after a substantial transaction was made on Binance.
- A cryptocurrency whale deposited 1.238 trillion PEPE tokens, valued at approximately $10.6 million, causing a 5.2% decrease in the cryptocurrency’s price.
- The identity of the wallet owner remains unknown, but the size of the transaction suggests the involvement of a significant investor.
A massive transaction involving the meme-based cryptocurrency $PEPE triggered a price drop after a cryptocurrency whale deposited their holdings onto Binance, a leading cryptocurrency exchange.
Large Transaction Triggers Price Drop
According to data from on-chain analysis service Spot On Chain, a multisig wallet deposited a significant 1.238 trillion PEPE tokens, valued at roughly $10.6 million, onto the Binance exchange. This transaction occurred just before a price drop of around 5.2%, suggesting the whale sold their tokens on the market. The identity of the wallet owner remains unknown, but the substantial amount of PEPE transferred implies the involvement of a major investor, often referred to in the cryptocurrency world as a “whale.”
Whale Investor’s Short-Term Holding
Further analysis by Spot On Chain indicates that this whale only held the $PEPE tokens for three days. If the tokens were indeed sold on Binance, they registered a gain of just 1.28%, or $134,000 given the size of the transaction. This isn’t the first time cryptocurrency whales fail to make significant gains with PEPE. Last year, shortly after PEPE saw its price skyrocket in a couple of weeks, several whales bet on it, before its price plunged.
Previous Losses and Gains with PEPE
The drop saw one specific whale lose a whopping $500,000 on the trade shortly after PEPE made its debut on the leading cryptocurrency exchange Binance. When the exchange first listed PEPE, it cautioned potential investors that PEPE lacks any inherent utility or value support mechanism. PEPE has been accused of potential insider trading, as 7% of the total token supply was reportedly purchased by insiders or team members minutes after the token generation event. However, a fortunate cryptocurrency investor seemingly managed to turn an investment of just 0.125 ETH in PEPE into a staggering $1.14 million in just a matter of days by buying into it at the right time.
Conclusion
The recent large transaction involving $PEPE and the subsequent price drop highlights the volatility and unpredictability of the cryptocurrency market, particularly with meme-based cryptocurrencies. While some investors have managed to make significant gains, others have experienced substantial losses. As always, potential investors should exercise caution and conduct thorough research before entering the market.
