Pippin [PIPPIN] traded within a consolidation range of $0.28 and $0.35; the memecoin bottomed at $0.26 and rebounded. Soon, PIPPIN broke out of this range and touched a local high of $0.415, clearing its recent losses.
As of this writing, PIPPIN traded at $0.412, up 27.57% on the daily charts. Over the same period, its volume jumped 21% to $56.5 million, while its market cap rose 25% to $388 million.
PIPPIN sees renewed interest, with whales leading
After a prolonged period of weakness, investors, both whales and retail, rushed into the market and defended key levels.
According to how2onchain, Wintermute’s buying activity resumed, especially in one of its main wallets. So far, $300K+ in tokens have been accumulated.
In addition to this address, another bot accumulated tokens near a local bottom as the memecoin dropped towards $0.26. This addresses the addition of over $2 million in PIPPIN.
Even more importantly, after PIPPIN jumped to a local high, these addresses held, anticipating further gains.
Furthermore, exchange activity also mirrored this whale accumulation. Per CoinGlass, $6.42 million worth of PIPPIN flowed out of exchanges, compared to only $4.97 million in inflows.
As a result, Spot Netflow fell 191% to -$1.45 million, a clear sign of aggressive spot accumulation. Increased outflows usually reduce the supply in circulation, further thinning market pressure.
Derivatives are even more bullish
According to CoinGlass, derivatives volume rose 156% to $712.56 million, while Open Interest climbed 21% to $101 million.
A rise in OI and volume, in tandem, suggested increased participation and increased capital flows, either taking long or short positions.
In fact, $262.98 million flowed into Futures positions compared to $255.14 million in outflows. As a result, Futures netflow rose 358% to $7.83 million.
Often, higher flows into exchanges suggested that more positions were opened than closed. Meanwhile, Long/Short Ratio surged to 1.01, reflecting higher demand for long positions.
An increased demand for longs indicated that most participants in the Futures market were bullish and anticipated higher prices in the near term.
Can the memecoin’s momentum hold?
PIPPIN rallied and erased all recent losses as demand rebounded across Spot and Futures markets. With buyers gaining ground, the memecoin’s Relative Strength Index (RSI) rose to 56, edging into bullish territory.
At the same time, the Relative Vigor Index (RVGI) made a bullish crossover and rose to -0.06, indicating strengthening upside momentum.
Rising RSI and RVGI indicated strong upside momentum with buyers in total control of the market. If buying activity continues, PIPPIN will reclaim $0.45 and target the $0.5 resistance level.
However, if this attempt to the upside collapses, with sellers rushing to take profit, the memecoin will retrace towards $0.34.
Final Thoughts
- Pippin [PIPPIN] surged 27.5% to a local high of $0.415, clearing all recent losses.
- PIPPIN rebounded amid renewed market-wide interest, mainly driven by whales.
