The Pepecoin ($PEPE) price experienced a minor uplift on November 5th following news that regulators in the UK and Japan are moving toward softer, clearer rules for digital assets. However, this positive sentiment did not prevent the meme coin from reflecting broader market weakness, with PEPE trading around $0.0000058–$0.0000060 and declining by -19% in the last 24 hours.
Regulatory Shifts Could Boost Meme Coin Accessibility
The possibility of clearer regulations in major economies is being viewed as a potential catalyst for increased retail investment in meme coins like PEPE:
- UK Stablecoin Clarity: The Bank of England is set to release its consultation on stablecoin oversight on November 10th. While "systemic" stablecoins will fall under the central bank's purview, others will be regulated by the Financial Conduct Authority (FCA). Market participants see this move toward organized oversight as creating a calmer environment for crypto trading.
- Japan Easing Taxes and Leverage: Japanese officials are considering significant changes to crypto tax treatment and leverage rules. Industry experts suggest that making trading cheaper and more accessible through these changes could dramatically open the door for more retail traders, increasing liquidity in both spot and derivatives markets where PEPE is listed.
Trader Caution and Fading Leverage
Despite the potential regulatory tailwinds, the current market sentiment remains cautious:
- CZ’s Short Activity: Large traders, including Changpeng Zhao (CZ), have reportedly been successful in closing short positions on PEPE. Meanwhile, an "anti-CZ whale" is sitting on large unrealized profits from a position in ASTER, suggesting varied high-stakes trading strategies.
- Liquidation Data: PEPE's liquidation activity shows that both long and short positions have been wiped out during rapid price swings. Recent activity has eased, indicating that traders are using less leverage as the token continues to lose strength.
- Bearish Technicals: The PEPE price has been slipping since its mid-May peak, with the chart currently leaning bearish. Volatility is low, and strong bullish positioning is absent, reflecting general trader caution.
Market Cycle Analysis Hints at a Later Peak
An analysis of the total crypto market cap (excluding Bitcoin) suggests that the current market cycle might be running longer than many expect:
- Extended Cycles: Historical data shows that the 2021 cycle top was reached closer to the 200-week mark after the previous top, later than the 175 weeks seen in the 2017 cycle.
- Current Outlook: The current cycle is nearing the 200-week mark, but the analysis hints that the ultimate peak could extend toward 225 weeks, leaving room for a later market top.
- Steady Market Cap: The total market cap holding near $1.3 trillion suggests a steady period rather than clear weakness. The Relative Strength Index (RSI) is mid-range, providing space for a potential move higher if historical patterns repeat.
In conclusion, while PEPE is currently suffering from a market drawdown and weak technicals, regulatory clarity in key jurisdictions and a potential for an extended market cycle offer hope for increased liquidity and renewed interest in the meme coin sector.
November 2025, Cryptoniteuae