1. Introduction

In recent years, the cryptocurrency market has attracted global investors’ attention with its unique charm and huge potential, becoming one of the most dynamic and innovative sectors in the financial field. In this market full of opportunities and challenges, the PEPE cryptocurrency, as a representative based on popular meme culture, has emerged and quickly gained a place in the market, attracting widespread attention.

PEPE coin was born in mid-April 2023, attracting a large number of investors in a short period of time with the internet cultural symbol “Pepe the Frog”. From the market performance, its market value reached over 1 billion USD in just 23 days after launch, with an astonishing increase of up to 274,000 times, creating another “get-rich-quick myth” in the cryptocurrency market, and successfully entering the top 50 tokens list. The success of PEPE coin is inseparable from its strong community support, enthusiasts actively promote and communicate through social media, forming a vibrant ecosystem. In addition, its use of advanced blockchain technology ensures the security and transparency of transactions, providing strong support for its development.

However, the high volatility of the cryptocurrency market has made the price of PEPE coin full of uncertainty. In 2024, the price of PEPE coin has experienced significant fluctuations multiple times, which has brought both potential high returns and significant risks to investors.

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2. PEPE Overview

2.1 PEPE Introduction

PEPE cryptocurrency was born on April 17, 2023, and is a memecoin issued on the Ethereum blockchain. Its design inspiration comes from the highly influential cartoon character ‘Pepe the Frog’ in internet culture. This image first appeared in the internet comic ‘Boy’s Club’ created by American cartoonist Matt Furie in 2005. With its unique expressions and quirky style, it quickly spread on the internet, becoming a popular emoticon pack for many netizens to express emotions and opinions, with wide recognition and strong cultural influence.

As a meme coin, PEPE has significant differences from traditional cryptocurrencies. It lacks clear practical value and use cases, with its main value coming from community consensus and widespread dissemination on social media. The total supply of PEPE is 420690000000000, the initial liquidity pool is burned, there is no presale, no trading tax, and the contract has been abandoned. These designs aim to enhance its decentralized nature and increase community control over the project. At the same time, PEPE has the characteristics of low market value and low cost, allowing ordinary investors to easily participate, lowering the investment threshold, and attracting a large number of people interested in cryptocurrencies but with relatively less capital.

2.2 Development History Review

Since its launch in April 2023, PEPE’s development has been full of drama and high volatility, leaving a unique trace in the cryptocurrency market.

In the early days of its birth, PEPE quickly emerged in the cryptocurrency community, leveraging the powerful IP influence of ‘Pepe the Frog’ and the active promotion of community members. In May 2023, PEPE reached its first milestone in its development journey. Just three weeks after its launch, its market value surpassed $1 billion, and subsequently peaked at $18.2 billion, successfully entering the top 50 tokens. During this period, PEPE’s price surged, attracting the attention of a large number of investors and becoming one of the hottest topics in the cryptocurrency market at that time. Many early investors seized this uptrend and gained substantial profits, further igniting the market’s enthusiasm for PEPE.

However, the good times did not last long. With the gradual decline in market heat, PEPE reached a historical high on May 6, 2023, and then the price plummeted rapidly. Within a few days, it dropped by over 42%, causing significant losses for many investors. The main reason for this price crash was the market’s excessive speculation and speculation. During the rapid price rise in the early stage, a large number of investors blindly followed suit, leading to a severe market bubble. Once the market sentiment shifted, investors started selling their PEPE holdings, triggering an avalanche-like price drop. In addition, the large-scale selling by some whale investors also had a huge impact on the market, exacerbating price volatility. It was reported that before the nearly 30% drop in PEPE on May 7, two whales collectively sold 1.67 trillion PEPE tokens, successfully cashing out and exiting, further undermining market confidence and causing a deep adjustment in PEPE’s price.

In 2024, the price trend of PEPE is still full of twists and turns. After the adjustment phase in April 2024, PEPE ushered in a new round of uptrend. During the trading period in May, the price surged by as much as 130%, reaching a historical high of 0.00001718 US dollars on May 27. This uptrend phase is mainly attributed to the overall market recovery and the continuous activity of the PEPE community. With the gradual recovery of the cryptocurrency market, investors’ interest in meme coins has been reignited, and PEPE, as a star project in the meme coin field, naturally becomes the focus of investor attention. At the same time, the PEPE community continuously attracts new users through various online activities and social media promotions, enhancing the community’s cohesion and influence, providing strong support for the price surge.

However, after reaching a historical high, PEPE once again faces the pressure of price correction. As of now, after experiencing a significant increase, the price of PEPE has started to show a certain degree of decline. The fluctuation in price has made investors full of uncertainty about the future trend of PEPE. On the one hand, some investors believe that the price correction of PEPE is a normal market adjustment, and with the support of the community and the driving force of market demand, there is still room for future growth; on the other hand, some investors are concerned that the price of PEPE may continue to decline, as the high volatility of the meme coin market and the lack of practical application value make its price trend difficult to predict.

Overall, the development of PEPE fully demonstrates the high-risk, high-reward nature of the meme coin market. The significant price fluctuations have provided investors with opportunities to gain substantial profits, but have also exposed them to significant investment risks. It remains to be seen whether PEPE can maintain stable development amidst market volatility and achieve new historical highs in the future.

Three, PEPE price trend analysis

3.1 Historical Price Trend Replay

In order to delve into the price trend of the PEPE cryptocurrency, we have drawn a detailed price trend chart since its inception (see Figure 1). From the chart, it can be clearly seen that the price of PEPE coin has experienced multiple drastic fluctuations in the past, exhibiting typical characteristics of high risk and high return of cryptocurrencies.

On April 17, 2023, PEPE coin was officially launched with an initial price that was extremely low, almost negligible. However, with the powerful cultural influence of ‘Pepe the Frog’ and the active promotion by early community members, PEPE coin quickly attracted market attention. In just a few days after its launch, the price started to soar rapidly, kicking off the first round of crazy bull market. By May 6, 2023, the price of PEPE coin reached the first milestone high, with an increase of tens of thousands of times, a surge that is extremely rare in the cryptocurrency market, attracting the attention of numerous investors and triggering widespread discussion in the market.

The main reason for this round of price increase is the highly speculative sentiment in the market and the promotion on social media. In the cryptocurrency community, PEPE Coin, as a novel meme coin, has attracted many investors to participate due to its unique cultural background and low investment threshold. The success and profit demonstration effect of early investors further stimulates more investors to follow suit and buy, forming a strong market demand, driving prices continuously higher. At the same time, discussions about PEPE Coin on social media platforms continue to heat up, with a large amount of publicity and promotion leading more people to understand and participate in PEPE Coin investment, further driving up prices.

However, this speculative and speculative rise is difficult to sustain. After hitting a phase high on May 6, 2023, the price of PEPE coin quickly plummeted. In just a few days, the price fell by more than 42%, causing huge losses to many investors. The main reason for this price crash is the market’s excessive speculation and the bursting of the speculative bubble. With the continuous rise in prices, the speculative atmosphere in the market became increasingly strong, and many investors blindly followed the trend to buy, ignoring the risk of the lack of actual utility value of PEPE coins. When the market sentiment changed, some investors began to take profits and sold a large amount of PEPE coins, causing an instant imbalance in the market supply and demand relationship, and the price quickly dropped. In addition, the large-scale selling of some whale investors also caused a huge impact on the market, exacerbating price volatility. According to market data, on the eve of the price plunge, multiple whale accounts concentrated on selling a large number of PEPE coins, triggering market panic and causing more investors to sell, further pushing the price down.

Entering 2024, the price trend of PEPE coin is still full of twists and turns. After a period of decline, in April 2024, PEPE coin ushered in a new round of uptrend. During the trading session in May, the price surged by as much as 130%, reaching a historical high of $0.00001718 on May 27. This round of increase is mainly due to the overall market warming up and the continuous activity of the PEPE community. In 2024, the global cryptocurrency market gradually emerged from the bear market shadow, the overall market began to warm up, investors’ confidence in cryptocurrency gradually recovered, and market funds started to flow in. As a star project in the meme coin field, PEPE coin naturally became one of the focuses of investors’ attention. At the same time, the PEPE community continuously attracts new users through various online activities and social media promotions, enhancing the community’s cohesion and influence. The active participation and promotion of community members continuously enhance the market visibility and acceptance of PEPE coin, attracting more investors to buy and driving the price to continue rising.

However, after reaching a historical high, the price of PEPE coin once again faces downward pressure. As of now, after experiencing a significant increase, the price of PEPE coin has started to decline to a certain extent. The main reason for the price correction is the profit-taking by the market and concerns about the future development of PEPE coin. During the price increase, many investors accumulated a large amount of profits. When the price reached a certain level, these investors chose to sell their PEPE coins to lock in profits, leading to an increase in market supply and a decrease in price. In addition, although PEPE coin has achieved certain results in community and market promotion, due to its lack of practical application value and a clear development direction, the market has doubts about its future sustainable development. This concern has also made some investors cautious about their investment in PEPE coin, choosing to reduce their holdings or exit, further exacerbating the price correction.

3.2 Recent Price Performance

Recently, the price of PEPE coin has been fluctuating frequently, and market activity is relatively high. By analyzing the price and trading volume data of the past few months (see Figure 2), we can gain a clearer understanding of its market performance.

Over the past three months, the price of PEPE coin has shown a trend of first rising and then falling. Between April and May 2024, the price started to rise from around 0.000007 US dollars, reaching a historical high of 0.00001718 US dollars on May 27, with an increase of over 130%. However, after reaching the all-time high, the price quickly fell back. By the end of July, the price had retraced to around 0.000011 US dollars, a drop of approximately 36% from the historical high.

From the perspective of trading volume, during the price increase period, the trading volume also shows a synchronized amplification trend. During the price increase process in May, the average daily trading volume reached over 10 billion US dollars, and the highest daily trading volume even exceeded 20 billion US dollars, showing a high level of market attention to PEPE and active participation from investors. However, as the price corrected, the trading volume also experienced a certain degree of contraction. During the price correction in July, the average daily trading volume dropped to around 5 billion US dollars, indicating a decrease in market activity, and investors’ trading enthusiasm was somewhat affected.

The recent fluctuation in the price of PEPE coin is mainly influenced by market sentiment and capital flow. During the price increase phase, the market’s optimism towards PEPE coin is high, with investors entering the market in large numbers, driving prices and trading volume up simultaneously. The discussion about PEPE coin on social media continues to heat up, with various positive news constantly spreading, further enhancing investor confidence and attracting more capital inflow. However, when the price reaches a certain high level, profit-taking in the market begins, with some investors worrying about price corrections and choosing to sell their PEPE coins, leading to price declines. At the same time, the uncertainty about the future development of PEPE coin in the market has also made some investors start to be cautious, leading to a reduction in capital inflow, further exacerbating the price correction.

In addition, the changes in the overall market environment have also impacted the price of PEPE. Recently, the global cryptocurrency market has been relatively volatile, with mainstream cryptocurrencies such as Bitcoin and Ethereum experiencing some degree of fluctuations. In this market environment, investors’ risk appetite has decreased, leading to more cautious investment in high-risk meme coins. As one of the representatives of meme coins, PEPE naturally has also been affected by the overall market sentiment, intensifying price fluctuations.

Overall, the recent price fluctuations of PEPE coin have been relatively intense, with high market activity. Investors need to closely monitor changes in market sentiment, capital flows, and the overall market environment when tracking the price trend of PEPE coin in order to better seize investment opportunities and manage risks.

Analysis of Factors Contributing to the Potential All-Time High of PEPE

4.1 Market Demand and Investor Sentiment

The current market shows significant volatility and cyclical characteristics in the demand for meme coins. As a special category in the cryptocurrency market, the value of meme coins mainly comes from community consensus and cultural dissemination, rather than traditional economic fundamentals. From the perspective of market demand trends, meme coins attract a lot of attention and capital inflows from investors at specific times, triggering market frenzy. For example, during the period of 2023-2024, with the overall popularity of the cryptocurrency market increasing and widespread dissemination on social media, the meme coin market has experienced rapid development, with significant increases in trading volume and market capitalization of meme coins such as PEPE, DOGE, and SHIB.

4.2 Project Fundamental Analysis

The community activity of the PEPE project is one of the important factors to assess its development potential and price support. As a core part of the PEPE ecosystem, the community plays a key role in the promotion, development, and value creation of the project. A multi-dimensional analysis of the activity of the PEPE community reveals its high level of activity on social media platforms, developer communities, and offline events.

On social media platforms, PEPE has a large fan base and an active discussion atmosphere. Taking Twitter as an example, the daily discussion volume of PEPE-related topics often remains at a high level, with community members actively sharing the latest news, market analysis, investment experience, and creative content about PEPE, such as PEPE-themed emojis, artworks, etc. These discussions not only enhance interaction and cohesion among community members but also attract more attention from potential investors, playing a positive role in the dissemination and promotion of PEPE. During the significant price increase of PEPE in May 2024, the topic heat about PEPE on Twitter sharply rose, with a substantial increase in retweets and likes of related tweets, demonstrating the high level of attention and active participation of community members in the project.

4.4 Macro Market Environment

The overall trend of the cryptocurrency market has a significant impact on the price of PEPE, and there is a close relationship between the two. The cryptocurrency market is a highly interconnected market, and the price movements of different cryptocurrencies often exhibit a certain degree of correlation. Bitcoin and Ethereum, as the leaders of the cryptocurrency market, their price fluctuations usually lead the trend of the entire market, and PEPE is also unable to stand alone.

When the cryptocurrency market is in a bull market, investors have a higher risk appetite, the market is abundant with funds, and a large amount of capital flows into the cryptocurrency market, driving up the prices of various cryptocurrencies. In this market environment, PEPE, as a highly speculative and topical cryptocurrency, is often sought after by investors, and its price also rises sharply. During the cryptocurrency bull market period from 2020 to 2021, the price of Bitcoin soared from its low point to a historic high, and other mainstream cryptocurrencies such as Ethereum also performed well. During this period, PEPE also attracted a lot of attention from investors, and its price experienced a significant increase.

On the contrary, when the cryptocurrency market enters a bear market, investors’ risk appetite decreases, market funds flow out, and the prices of various cryptocurrencies generally decline. In the bear market, investors tend to hold cash or safe-haven assets, and become cautious about investing in high-risk cryptocurrencies. As a meme coin lacking real-world application value support, PEPE is more susceptible to market sell-offs in bear markets, and its price often experiences significant declines. During the cryptocurrency bear market period in 2022-2023, the prices of Bitcoin and Ethereum plummeted, and PEPE also suffered a severe impact, with a decline of over 80%.

Fifth, PEPE price trend prediction analysis

5.1 PEPE typical case of price fluctuations on its own

On May 27, 2024, the price of PEPE reached a historical high of $0.00001718, and then quickly retraced, with a drop of over 30% in just a few days. There are multiple factors behind this significant price fluctuation.

The whale trading pair market has had a significant impact. After the price surged to its peak, some whale investors holding a large amount of PEPE began to sell off their tokens. According to the blockchain data monitoring platform, on the eve of the price correction, multiple whale accounts concentratedly sold billions of PEPE. These large-scale sell-offs instantly significantly increased the supply of PEPE in the market, while the demand did not catch up in time, leading to a sharp price drop. Taking one whale account as an example, the account sold 50 billion PEPE on May 27th, worth about 850,000 US dollars. This sell-off triggered panic in the market, causing more investors to follow suit and sell off, further exacerbating the price decline.

Market speculation is also an important factor causing the fluctuation of PEPE prices. During the price increase of PEPE, there was a lot of speculative behavior in the market. Many investors did not make judgments based on the value of the PEPE project itself, but were influenced by market sentiment and short-term profit expectations, blindly following the trend to buy. This speculative investment behavior detached the price of PEPE from its actual value, forming a price bubble. Once market sentiment changes and investors start to take profits, the price bubble will burst, leading to a significant price drop. The discussion about PEPE on social media heated up sharply during the price increase, and a large number of investors were influenced by public opinion, rushing into the market and driving prices continuously higher. However, when some negative news appears in the market or profit-taking begins, investor sentiment quickly reverses, leading to a sharp price drop.

From these cases of significant price fluctuations in PEPE, we can draw the following lessons and reference values. Investors should not rely solely on market speculation and emotions when investing in PEPE and other cryptocurrencies, but should pay more attention to the project’s fundamentals and intrinsic value. It is necessary to conduct in-depth analysis of the project’s technical strength, team background, application scenarios, etc., and make rational investment decisions. It is important to closely monitor market dynamics and changes in technical indicators, and adjust investment strategies in a timely manner. When there are signs of overbuying in the market or technical indicators send sell signals, investors should remain vigilant, reduce positions or exit in a timely manner to avoid losses. Market participants should recognize the high risk and uncertainty of the cryptocurrency market and manage investment risks reasonably. Do not invest too much capital in a single cryptocurrency, but reduce risks through diversified investments. At the same time, it is important to strengthen regulation of the cryptocurrency market, standardize market behavior, reduce market manipulation and malicious speculation, and protect the legitimate rights and interests of investors. For the PEPE project team, efforts should be made to enhance the project’s construction and development, improve the actual application value and competitiveness of the project to enhance market confidence in the project and stabilize price trends.

The above is the prediction of the PEPE price based on the large model, for reference only, not as investment advice!

VI. Risk Warning

6.1 Market Risk

The cryptocurrency market is highly volatile, which is its inherent characteristic. Small changes in market sentiment can trigger significant price fluctuations. As a meme coin, PEPE’s price trend is closely linked to market sentiment. When market sentiment is positive, investors’ demand for PEPE increases, driving up prices; conversely, when market sentiment reverses, investors sell off their PEPE holdings, causing prices to plummet. In May 2024, PEPE’s price quickly retraced after reaching a historical high, which is a typical case of market sentiment reversal. At that time, some negative rumors about PEPE emerged in the market, triggering investor panic and causing a massive outflow of funds, leading to a sharp price drop.

The significant outflow of funds also cannot be ignored in its impact on the price of PEPE. Due to the relatively small market value of PEPE and limited market liquidity, a large outflow of funds can easily trigger drastic price fluctuations. When large investors or whale accounts sell off PEPE, the market’s supply instantly increases while demand fails to keep up, leading to price declines. As mentioned earlier, on the eve of the price correction of PEPE on May 27, 2024, several whale accounts concentratedly sold billions of PEPE, triggering a sharp price drop. In addition, the overall fund flow in the cryptocurrency market will also affect PEPE. When market funds flow to other popular projects or assets, the inflow of funds into PEPE will decrease, thereby suppressing its price.

When investors consider investing in PEPE, they must fully recognize the existence of market risks. It is important to closely monitor changes in market sentiment and adjust investment strategies in a timely manner. At the same time, it is necessary to control the investment scale reasonably, avoid excessive investment, and reduce the losses caused by market risks.

Conclusion

For investors, when considering investing in PEPE, they should maintain a cautious attitude and formulate a reasonable investment strategy. It is important to fully understand the high risks and uncertainties of the cryptocurrency market and avoid blind trend-following investments. It is recommended that investors adopt a diversified investment approach, allocate funds reasonably across different asset categories to reduce investment risks. When investing in PEPE, investors should control the investment proportion reasonably based on their risk tolerance and investment objectives, avoiding over-investment. At the same time, it is important to closely monitor market dynamics and project developments, and adjust investment strategies promptly.