What’s Next for Meme Coin Exploding 6.600% in a Short Time: Santiment

Blockchain analytics firm Santiment reported that interest in the meme coin Pepe (PEPE), which has recently experienced a sizable rally, may be waning.

Santiment explained that PEPE will likely not hit its all-time high on May 5, but could see a smaller upside move in the near term after falling 67%.

The social dominance measure closely mirrors PEPE’s price action, according to the analytics firm.

“[PEPE], still accounts for around 5% of discussions compared to the top 100 assets. And seeing it fall in the 1%-2% range would be a good sign that traders are moving away and looking for bullishness in other altcoins.”

However, Santiment adds that upside moves are still possible for the meme coin. An indicator to watch is that large addresses with at least 100 million PEPE become more active, according to the analytics firm:

“Looking at the largest addresses with PEPE of 100 million and above, we see that they started to reverse course on the 5th of May peak… If you start to see these lines moving up again, then PEPE is much more likely to take a second bullish round (although there is a small chance) in).

Santiment also reported that, based on the (MVRV) indicator, PEPE is close to entering an “opportunity zone”:

“Just in the last 24 hours, the 30-day MVRV shows that traders are basically back at par. If it enters negative territory, this starts to look like a profitable setup because traders will be in the red and in the ‘opportunity zone’.”

According to Santiment, another indication of a possible upward move is that the trading volume is starting to recover.

“Trading and transfer volume appears to be as expected with everything down quite significantly since the May 5 peak. But in the last 24 hours, things have started to pick up again with these measurements.”

Finally, Santiment states that if relatively inactive addresses become active, an upward price movement may follow.

Meme coin gained nearly 6,650% from $0.000000055142 when it was traded on April 18, reaching an all-time high of $0.00000372. At press time, it is trading at $0.00000122.

You can follow the current price action here.

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