Why is PEPE Down 11% Today? Profit-Takers Enter Top Gear

Pepe coin (PEPE) price is down by over 11% in the last 24 hours, trading at $0.00001358 at press time. The latest decline comes after the frog-based meme coin experienced remarkable surges since this month, hitting an all-time high (ATH) of $0.000017 on May 27.

Why is PEPE Down?

After registering over two weeks of consistent surges, Pepe has noted a significant decline of 11% at the time of writing. The memecoin saw an impressive rally this month which led to massive buying pressure. The number of PEPE users also doubled indicating a massive hike in the token’s holders. 

Additionally, the announcement of the Ethereum ETF approval also motivated traders in search of an alternative to the second-largest cryptocurrency to choose a meme coins ecosystem. 

However, following the latest price surges, a large number of investors sold significant holdings to take profits which significantly affected the price of the memecoin. One of which is a whale who recently withdrew $8 million worth of Pepe coin from the crypto exchange Binance.

According to data from Santiment, the PEPE exchange inflow and outflow have been constantly declining over the past three days. About 4.31 trillion PEPE tokens have entered the exchanges while 4 trillion coins have left the platforms — showing an exchange net inflow of around 310 billion Pepe tokens. 

Holders Still in Profits

Despite the recent price decline and profit-taking, on-chain datadata provided by the market intelligence platform shows that more than 96% of PEPE investors are currently in profit thanks to the massive rally the meme coin has seen this month.

According to the “Global In/Out of the Money” indicator from IntoTheBlock, most PEPE holders have entered profitable zones due to the coin’s previous surge. The indicator details the number of addresses that bought PEPE at various historical prices. 

More than 96% of PEPE investors are currently in profit indicating that they hold profitable positions. Those at net loss are a small fraction when compared to addresses in profits. 

Pepe is now the most profitable token among the leading meme coins. This metric demonstrates investors’ trust and expectations that the meme coin will recover and see new heights. Currently, its market cap is sitting at $5.6 billion, making it the 21st-largest digital currency.