Pippin [PIPPIN] rallied another 32.3% in the past 24 hours, at press time. The performance was exceptional, considering Bitcoin [BTC] was down 3.96% and the total crypto market cap was down 4.13% during the same period.
PIPPIN bulls have been euphoric in recent weeks. Measured from the 21st of November, the autonomous AI agent and memecoin have rallied an immense 2,022%. A 20-fold price rally within a month, in these market conditions, is remarkable.
Especially when you consider that a whale who bought AI agent tokens on Base was forced to accept defeat and an 88.77% loss, highlighting the sector’s weakness.
Why is PIPPIN’s price surging?
The Open Interest (OI) behind the memecoin rose from $178 million on the 15th of December to $208 million at the time of writing. This 16.85% increase signaled strong bullish conviction.
A 61.8% daily trading volume boost was also encouraging for the bulls.
Even though OI rose, the Funding Rate was negative. This meant that a majority of the market was shorting the token, and the asset’s futures price was below its spot price.
In a post on X, the Evening Trader Group noted that the rally was primarily driven by whales accumulating a large chunk of the supply in a coordinated fashion.
This observation follows a previous case study where they showed that 93 wallets held 73% of the total supply in three well-defined clusters.
There were no indications of distribution or outflows. Instead, the synchronized activity pointed to structured accumulation rather than retail-driven flows, a development that left investors concerned.
Another reason why holders can look to take profit is the rapid pace of the rally itself. Since the start of December, the price has made new higher highs, while the MFI indicator has made lower highs.
This was a persistent bearish divergence that could lead to a sizable drawdown. On the other hand, the OBV’s continued rise indicated buying pressure remained strong.
Overall, the whale supply accumulation and the swift rally meant that PIPPIN holders might want to book profits instead of holding through a deep retracement.
Final Thoughts
- The pippin token has made staggering gains over the past month.
- The coordinated whale accumulation could be a serious threat to retail PIPPIN holders enjoying the current price action.
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
