Who are the largest whales of Pepe (PEPE)?

Answered at Sep 05, 2024

Largest Whales of Pepe (PEPE): An In-Depth Analysis

Introduction

Pepe (PEPE), the popular meme coin based on the Pepe the Frog character, has attracted significant attention from cryptocurrency investors, including large-scale holders known as "whales." This report examines the largest whales of PEPE, their activities, and the impact on the token's market dynamics.

Major Whale Activities

Institutional Investors

One of the most notable PEPE whales is an institutional crypto asset manager called Ceffu. According to on-chain data, a wallet believed to be associated with Ceffu executed a massive transaction of 1.48 trillion PEPE tokens from Binance (Lookonchain, 2024). This movement of tokens from a major exchange to a private wallet suggests a long-term holding strategy by a significant institutional player.

Individual Whales

Several individual whales have also made substantial moves in the PEPE market:

  1. Nascent Investment Firm: On June 7, 2024, a wallet linked to Nascent acquired 447.67 billion PEPE from Binance, worth approximately $5.65 million. This purchase made PEPE the largest asset in Nascent's portfolio, surpassing their holdings in Maker (MKR) and Tether USD (USDT) (BeInCrypto, 2024).

  2. Unidentified Whale: On June 8, 2024, an unidentified whale purchased 231.64 billion PEPE worth approximately $2.9 million from Kraken. This transaction was part of a series of purchases, with the whale accumulating a total of 750.34 billion PEPE ($8.34 million) from Kraken since March 16, 2024, at an average price of $0.00001111 (Lookonchain, 2024).

  3. "cookislandstrust.eth": This whale has been actively buying PEPE during market dips. In a 7-day period, they spent 3.13 million USDT to acquire 420 billion PEPE tokens on two occasions, including a significant purchase during a market dump on August 5, 2024 (Benzinga, 2024).

  4. Diamond Hands Trader: A particularly notable whale is a trader who turned an initial investment of $83 into $79.4 million by buying and holding PEPE. This trader, using three wallet addresses, purchased 6.44 trillion PEPE tokens for just 0.041 ETH ($83) and has not sold any tokens to date, representing a gain of 958,580x (BeInCrypto, 2024).

Whale Concentration and Distribution

The concentration of PEPE tokens among large holders is significant:

  • The top 10 richest addresses hold 43.02% of all available PEPE supply (Coinlore, 2024).
  • As of August 2024, Pepe whales still control almost 47.63% of the total supply (BeInCrypto, 2024).

This high concentration of tokens in the hands of a few large holders has implications for the token's price volatility and overall market dynamics.

Impact on PEPE Price and Market

The activities of these whales have had notable effects on PEPE's market:

  1. Price Volatility: Large purchases by whales have often coincided with significant price movements. For instance, PEPE reached an all-time high of $0.00001698 on Memorial Day 2024, driven in part by whale accumulation (Decrypt, 2024).

  2. Market Sentiment: Whale activities often influence broader market sentiment. The accumulation by large holders during price dips has sometimes been interpreted as a bullish signal by smaller investors.

  3. Liquidity: The movement of large amounts of PEPE tokens by whales can significantly impact the token's liquidity on exchanges, affecting trading dynamics for all market participants.

  4. Price Support: In some cases, whale accumulation has provided price support during market downturns. For example, the purchase of 292.97 billion PEPE tokens worth $2.17 million by a whale in September 2024 occurred near a crucial support level of $0.0000071, potentially preventing further price decline (Cryptonews, 2024).

Risks and Considerations

While whale activity can drive positive price action, it also presents risks:

  1. Centralization Concerns: The high concentration of tokens among a few large holders raises questions about the decentralization of PEPE.

  2. Market Manipulation: Large holders have the potential to significantly influence PEPE's price through their trading activities.

  3. Sudden Sell-offs: There's always a risk that whales could decide to sell large portions of their holdings, potentially causing rapid price declines.

Conclusion

The largest whales of Pepe (PEPE) include both institutional investors like Ceffu and individual traders who have accumulated substantial holdings. These whales control a significant portion of the total PEPE supply, with the top 10 addresses holding over 43% of all tokens. Their activities, including large purchases during price dips and long-term holding strategies, have played a crucial role in PEPE's market dynamics.

While whale accumulation has often been associated with positive price movements for PEPE, it also introduces risks related to centralization and potential market manipulation. As the PEPE market continues to evolve, the actions of these large holders will likely remain a key factor in the token's price movements and overall market health.

Investors and traders in the PEPE market should remain aware of whale activities and consider their potential impact when making investment decisions. The high concentration of tokens among whales underscores the importance of conducting thorough research and exercising caution in the volatile meme coin market.

References

BeInCrypto. (2024). Pepe: A Comprehensive Guide to What It Is and How It Works.

Benzinga. (2024). Crypto Whales Scoop Up PEPE Tokens During Market Dip As Dogecoin, Shiba Inu Interest Fades.

Coinlore. (2024). Pepe PEPE Rich List.

Cryptonews. (2024). PEPE Price Prediction For September 2024.

Decrypt. (2024). Pepe Active Wallets Double as Ethereum Meme Coin Hits All-Time High Price.

Lookonchain. (2024). On-chain data analysis of PEPE transactions.