Prominent memecoins, including Pepe Coin (PEPE), Shiba Inu, and Floki, have seen a significant decline in their market value recently, closely mirroring Bitcoin’s drop below $63 level today. As a result, the memecoin market is facing a downturn, with these leading meme-inspired digital currencies preparing for a possible retest of their breakout points in light of a rise in negative on-chain indicators.
Memecoins See A Decline In Whale Interest
The meme coin market, featuring well-known cryptocurrencies like Pepe Coin, Shiba Inu and Floki are facing a phase of downward volatility. A decline in a crucial on-chain metric indicates growing bearish sentiment, pointing to an increase in sell-off activities among these popular meme tokens.
Recent data from IntoTheBlock reveals a drastic decrease in high-value transactions for Pepe Coin, with a more than 55% drop from transactions valued at $374 million to just $129 million. This steep fall hints at declining interest among major investors or “whales,” potentially leading to decline in volatility and a lack of buying pressure.
Similarly, Shiba Inu has seen a significant reduction in transactions by whales, with values plummeting from a high of $578 million to just $227 million. This suggests a decrease in interest from large investors, likely keeping the SHIB price in a bearish range for a longer duration. Additionally, Floki saw a drop in whale transactions from $83 million to $18.6 million.
Pepe Coin Price Analysis
Buyers are supporting Pepe’s value above its 200-day EMA on the 4-hour price chart, indicating strong demand. However, sellers continue to intensify their selling pressure as the PEPE price declined below support lines and touched the crucial support at $0.000006.
Bulls need to surpass $0.000011 to aim for $0.00002, while bears are resisting, shown by the price drop. If Pepe falls below its EMA200, it would signal bear dominance, potentially leading to more selling and testing buyer patience at support levels between $0.000005 and $0.000001.
Shiba Inu Price Analysis
Shiba Inu has encountered a decline after its failure to hold an upward trajectory around $0.00003, signaling that short-term traders could be capitalizing on gains. This downturn may plunge investor confidence, potentially leading to a bearish consolidation for SHIB price.
The downward slope of the 20-day Exponential Moving Average (EMA), along with a Relative Strength Index (RSI) nearing 35, points towards a market sentiment that is skewing bearish. A dip below $0.000023 could increase the selling confidence among traders.
Floki Price Analysis
Attempts to drive Floki’s price lower by sellers encountered strong purchasing resistance, resulting in a rebound of Floki’s value from critical Fibonacci support level at $0.00016. Currently, Floki is forming a head and shoulder pattern.
The 20-day Exponential Moving Average (EMA) has declined to $0.0002, indicating a shift towards a bearish trend. Furthermore, the Relative Strength Index (RSI) has declined below the neutral 50 mark, now hovering around the oversold region, which suggests a growing dominance of selling activity.
Should Floki remain below the resistance zone, it may struggle to generate any significant upward movement. This could intensify bearish sentiment, with a greater probability of increased selling pressure at even slight price rallies. A drop below $0.00012 could lead to further declines.
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