Pepe Coin Price Prediction as Binance Hacker Dumps 7 Trillion PEPE – Crash Looming?

Binance suffered the biggest hack in crypto history on October 29, with more than $6.3 billion worth of crypto assets stolen. Among the stolen assets is Pepe Coin (PEPE), whose price dropped to $0.0000049 after reports that the hacker sold 7 trillion coins.

PEPE price was down by 1.77% at the time of writing. Meanwhile, CoinMarketCap data shows that the meme coin’s trading volumes had surged by 114% to $1.83 billion.

Pepe Coin’s has also seen an increase in long liquidations to a multi-month high, adding to the sell-side pressure.

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Hacker Drains 7 Trillion PEPE From Binance

Data from Whale Alert shows that the attackers behind the Binance breach, who have since been identified as North Korean hackers, moved 7 trillion PEPE. The coins are worth $37.4 billion.

Arkham researcher Emmett Gallic, notes that the hacker has since sold all of the stolen PEPE tokens, in a move that caused a massive surge in volatility.

Pepe Coin price moved from $0.00000568 to a daily low of $0.00000440 before closing the daily candle at $0.00000456. The meme coin has since made a slight recovery but has yet to cover all the losses from the Binance hack selloff.

However, LookonChain shows that after the attacker dumped all the 7 trillion PEPE, whales reentered the market and started to buy PEPE. One of these traders is dimethyltryptamine.eth who has purchased 45 billion PEPE coins.

The address now holds 2.04 trillion Pepe Coins that are worth more than $10 million per data from Arkham. This purchase suggests that some traders expect Pepe Coin price to recover.

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PEPE Liquidations Soar as Open Interest Drops 10%

Data from CoinGlass shows that Pepe Coin recorded $3.45 million worth of long liquidations on October 29. This marks the highest long liquidations seen by the Ethereum-based meme coin since May.

These liquidations have caused a 10% decline in open interest to $368 million at the time of writing. The OI had reached $400 million on October 28 following reports that Justin Sun purchased $51.25 million worth of PEPE.

However, the weighted funding rate has dropped to -0.012%, suggesting that short sellers are paying long buyers to keep their positions open. PEPE’s long/short ratio has also dropped to 0.98, as the number of short accounts topples that of long accounts.

The negative weighted funding rate and the falling long/short ratio suggest that the sentiment towards Pepe Coin price is bearish as futures traders anticipate another downward move.

Pepe Coin Price Prediction Targets $0.0000070 as Uptrend Holds

Zooming out on the weekly chart for Pepe Coin price shows that the meme coin is in an uptrend. Despite the hacker selloff and a weakened sentiment thereafter, bulls are still testing the resistance at the upper trendline of the channel.

If PEPE breaks out, the next target will be the midline of the FVG gap at $0.0000070. Whether PEPE closes above that midline will determine whether the uptrend will continue.

The RSI remains at 61, which also supports a bullish Pepe Coin long term price prediction. It shows that the momentum is leaning bullish. PEPE also remains above the 50-day EMA, which also suggests that the short term is favoring bulls.

On the downside, the support lies at the lower trendline of the ascending channel. Losing this support might push Pepe Coin price to $0.00000316.

Is a Crash Looming?

The Binance hacker has already sold off all the 7 trillion PEPE drained from the Binance exchange, and the price is holding steady at $0.000049 after avoiding a major decline.

Since the selloff has already occured, Pepe Coin price might not crash further, and onchain data also shows that some traders have started to buy the dip.

A crash in Pepe Coin price will only occur if there is weakness in the broader crypto market and bitcoin extends its decline below $80,000.