PEPE: Is this whale movement the catalyst to long-term gains?
- Another whale bought PEPE and looked to keep it for a long period.
- However, many did not follow the same path as the token network growth fell.
Pepe [PEPE] has once again captured the attention of another whale in the market. In what looked like a decision to HODL, Lookonchain reported that trader “osf_rekt” exchanged 141 Ethereum [ETH] for 173 billion PEPE.
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The tweet also showed that it was not the first time the pseudonymous trader had bought the memecoin. Typically, this kind of action points to a convention that the cryptocurrency would perform quite well in the future.
The assumption that the intent behind the buying decision was not connected to a short-term exchange was that the accumulated tokens were sent to a multisig wallet.
— Lookonchain (@lookonchain) July 12, 2023
An acronym for a multi-signature wallet, a multisg wallet is a type of crypto wallet that allows multiple cryptographic keys for transaction execution. Since it is one of the most secure wallets, storing tokens in it usually implies a motive to keep assets far away from the claws of exploits.
At the same time, this action might not be surprising since PEPE generated a lot of buzz. In the last 30 days, PEPE’s value has increased by 64.34%.
Everyone hasn’t aligned to PEPE
However, the motive to hold for the long term might not be widespread within the cryptocurrency community. According to Santiment, the supply outside of exchanges has been around 270 trillion since July started.
This raises questions about whether PEPE has positioned for long-term growth or if the demand for the token has grown.
Then again, another metric to consider when assessing the long-term sentiment is the Realized Market Cap Hodl Waves. This metric can serve as an alternative to the Circulation Hodl Waves.
And like the latter, the Realized Market Cap Hold Waves weigh the active supply of a token by the realized value. At press time, the metric was down to 5.84.
Typically, this suggests that PEPE is not as appealing as it was to the average investor. Thus, the market isn’t exactly overheated since investors were not prepared to perceive PEPE as a high-value asset compared to its previous performance.
Read Pepe’s [PEPE] Price Prediction 2023-2024
Less active, almost no new
In examining other market trends, Santiment also showed that PEPE seven-day active addresses were 14,200. This infers that daily users of the cryptocurrency had decreased, and transactions within the network were no longer monumental.
Furthermore, PEPE’s network growth was not any better. At 294, the metric showed that new addresses were overlooking joining the train.