Meme Price Plunges as Whale Sell-Off Raises Concerns: Is More Downside Ahead?

Memecoin price, a native ecosystem token of Memeland, has witnessed a notable decline in value recently. Over the past week, the MEME has charted a descending trend, suggesting that bears have taken control amidst broader market corrections.

Meme Price Decline as Whale Activity Intensifies

Memecoin (MEME) pre-sale investors deposited a staggering 127.5 million $MEME, equivalent to $1.55 million, into the cryptocurrency exchange Binance. This strategic move resulted in the investor’s impressive profit of $1.41 million. 

Memecoin successfully raised $15.8 million through two rounds of pre-sales. The initial pre-sale price was set at $0.001 per $MEME.

A Memecoin pre-sale investor deposited 127.5M $MEME($1.55M) to #Binance 1 hour ago, earning $1.41M.

Memecoin( $MEME) raised $15.8M through 2 rounds of pre-sales, the pre-sale price is $0.001.https://t.co/bGorr47HDo pic.twitter.com/WRsOczSTup

— Lookonchain (@lookonchain) August 3, 2024

The deposit of such a large amount of $MEME into Binance could have a varied impact on the meme coin’s market price. The influx of a substantial volume of tokens might increase liquidity, making it easier for other investors to buy or sell the cryptocurrency.

Could MEME Price Hit $0.01 Soon Amid Market Corrections?

At the time of writing, the MEME price is trading at $0.01191, down 10.27% during the European session. The meme coin has seen fluctuating fortunes, reaching a high of $0.01347 and a low of $0.01174, indicating significant daily volatility.

Meme Price Chart By TradingView

Meme price is currently hovering around a critical support level. If this level fails, it could precipitate a decline, pushing the MEME price to fall below the $0.0115 mark. This downward trajectory could reach the $0.011 support zone, suggesting a market overwhelmingly controlled by sellers.

The technical indicators for the Memecoin price show a downward trend against Tether (USDT). The Relative Strength Index (RSI) stands at 19, indicating an oversold condition.

Additionally, the Awesome Oscillator (AO) displays a pattern of red bars, indicating a bearish selling momentum has been in place. 

5 wallets(may belong to the same person) sold 14.53M $WIF($24M) 7 hours ago!

Incredibly, this guy bought 14.53M $WIF on Nov 30, 2023, and the cost was only $5,340!

He got a 4,497x return!

If he sold at the highest price, he would have made a profit of more than $69M, a 12,927x… pic.twitter.com/Of1kpEwOze

— Lookonchain (@lookonchain) August 3, 2024

In a significant development in the meme coin sector, five wallets, potentially owned by a single individual, sold 14.53 million $WIF tokens valued at approximately $24 million just seven hours ago. 

This transaction marks a staggering return on investment for the owner, who originally purchased the same amount of $WIF on November 30, 2023, for merely $5,340.

The profit realised from this sale is astronomical, showcasing a 4,497-fold increase from the initial investment. Had the tokens been sold at their peak value, the profit could have escalated to more than $69 million, translating to a return of 12,927 times the original amount. This event underscores the volatile and potentially lucrative nature of investments within the meme coin market

Conversely, a resurgence of positive sentiment could elevate the MEME price beyond the $$0.012 barrier. Surpassing this point may pave the way for a rise to $0.013. If bullish momentum continues to build, Meme may even breach the $0.016 level.

The post Meme Price Plunges as Whale Sell-Off Raises Concerns: Is More Downside Ahead? appeared first on CoinGape.