Pepe (PEPE), the frog-themed meme coin, has recently experienced an explosive surge, skyrocketing 86% in just 24 hours and flipping Sui (SUI) in market capitalization. This impressive rally has been largely fueled by its listing on major U.S. exchanges, Coinbase and Robinhood, which have sparked significant interest from traders, especially whales, eager to capitalize on the coin’s volatility.
Key Drivers Behind the Pepe Surge
The monumental price spike for Pepe, which reached an all-time high of $0.0000243, comes after a prolonged bearish phase that has plagued the coin since May 2024. However, in the past two weeks, Pepe has experienced a remarkable 180% increase, triggering a wave of whale activity. According to market data, Pepe’s daily trading volume surged by 228%, peaking at $20 billion on November 14, 2024.
The catalyst for this price explosion was the long-awaited listings on Coinbase and Robinhood. On November 13, 2024, Coinbase officially listed Pepe, allowing registered users to trade the meme coin. Following shortly after, Robinhood also enabled Pepe trading for its customers, which created a FOMO (fear of missing out) effect among traders looking to seize on the meme coin mania sweeping the market. As a result, whale investors began flocking to Pepe, with one whale accumulating a staggering 751 billion Pepe coins, valued at nearly $18 million, from multiple exchanges.
Whale Activity and Market Impact
The influx of whale investors has led to a substantial spike in trading volume, which has only heightened the attention on Pepe. Despite the rally, some whales have started to take profits, with one major whale depositing 500 billion Pepe coins—worth more than $11 million—on Coinbase. This profit-taking behavior suggests that while Pepe remains a hot commodity in the market, some traders are beginning to cash out after the recent price surge.
Pepe’s explosive rise comes amid a broader altcoin rally, spurred by Bitcoin’s climb towards the psychological $100K resistance level and a decline in gold prices, which has driven more cash into the crypto market. As altcoins gain more attention, meme coins like Pepe have been at the forefront, benefiting from the surge in liquidity and enthusiasm in the meme coin space, largely ignited by Dogecoin’s recent momentum.
Is Pepe’s Bull Run Sustainable?
Despite the current surge, analysts warn that Pepe may not be the best investment for the near term. According to on-chain data from Santiment, the Relative Strength Index (RSI) for Pepe has surged above the 70% level, indicating that the coin may be overbought. Historically, such overbought conditions often signal a correction in the market. As a result, traders are advised to be cautious, as the rally may be nearing its peak.
While the future of Pepe remains uncertain, its current status as one of the top meme coins in terms of market capitalization highlights its growing influence in the crypto space. Whether Pepe can maintain its momentum or if it will face a correction in the coming weeks remains to be seen, but for now, it’s clear that the meme coin has captured the attention of investors and traders alike.
