When Pepe Coin was launched in April this year, a host of early investors ended up becoming multi-millionaires. However, as pointed out in a recent article, around 80% of the profits were accrued in the first week of Pepe’s issuance. With most investors sitting on their tokens, the net liquidity seems to be limited at the moment.
Over the past week, the asset has risen by around 11%, as its price stood at $0.000001739 at press time. The market value refinement has also helped the MVRV ratio. At press time, this metric flashed a value of 1.28, indicating that the market value of Pepe Coin is currently more than its realized value. In fact, the current reading is reminiscent of levels registered during mid-May. Thus, amid the current profitable conditions, investors could end up selling their assets.
According to on-chain data, zero-balance addresses have risen 26% over the past week. This indicated that the Pepe Coin sell-off has started already.
Also Read: 80% Of Pepe Coin Profits Were Accrued During Week 1: Research
Pepe 2.0 inflates investor’s profit bags
Thus, with not much left to extract from the Pepe Coin ecosystem, investors are now eyeing Pepe 2.0. The Pepe Coin spin-off has appreciated by around 17% over the past day. In fact, data from CoinMarketCap highlighted that it had a multi-million dollar 24-hour trade volume.
Interestingly, a particular market participant managed to convert $900 into $176,000 in a period of less than 24 hours. The address did so by selling in 2 ETH worth Pepe 2.0 more than 40 times.
Data visualization platform Bubblemaps recently brought to light that early buyers with significant shares of Pepe 2.0 are slowly selling their assets now, opening the doors for a price dump. With whales holding a high degree of influence over the asset’s price, the Pepe 2.0 landscape seemed to be quite risky. Thus, with the selling spree initiated already, the Pepe 2.0 fad could also wind up soon. Thus, exercising caution at this stage might hold the key.
Also Read: Assessing the Odds of Chainlink, Fantom Pumping 100% in July
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