Moves by large holders in the Ethereum (ETH)-based meme coin market have become active again, narrowing the market-cap gap between Pepe (PEPE) and Shiba Inu (SHIB) to an all-time low. More than $10 million worth of Pepe moved from large wallets that had been quiet for months, but the market responded with buying that outweighed any sell shock.

On Oct. 28 local time, blockchain outlet U.Today reported that a total of 2.27 trillion PEPE was transferred from two wallets, including one that had been dormant for about a year and another that had seen no transactions for four months. The value at the time was about $10.19 million, with $6.53 million from the first wallet and $3.66 million from the second.

The first wallet in particular had previously deposited to crypto exchange Coinbase, heightening caution about the possibility of selling. Large holdings moving after a long period of inactivity can be interpreted as a signal ahead of exchange selling.

This time, however, the flow differed from expectations. Prices rose as market participants quickly absorbed the released supply. Some 84 percent of total 12-hour trading volume was concentrated in the most recent six hours, and the amount moved by large holders was also absorbed by the market in a short time, U.Today reported. It noted that buyers took on risk while accepting the supply.

The price rise also affected the market-cap race between the two meme coins. Based on TradingView, Pepe's daily gain topped 10.8 percent, and Shiba Inu also rose 1.66 percent to extend its climb. The market-cap gap narrowed to about $1.06 billion. U.Today assessed that Pepe was closely chasing Shiba Inu.

The move also aligns with a trend of speculative funds flowing back into the meme coin market. With large-wallet transactions becoming more active and buying supporting them, the rivalry between Pepe and Shiba Inu is emerging as a key focus within the Ethereum ecosystem. Still, it is difficult to conclude a trend reversal based on only a short-term price rise, making it necessary to watch trading volume and follow-up moves by large wallets together.

Accumulation by a large investor is also continuing. Arkham Intelligence data showed Tron founder Justin Sun (저스틴 선) accumulated tokens worth about $51.25 million, equivalent to 2.82 percent of PEPE supply, over the past 10 days. A large inflow of funds can support demand in the short term, but it also calls for caution as trades by a small number of large holders can have a greater impact on market prices.

In fact, large holders are currently estimated to hold 94.66 percent of total PEPE supply. In a structure where supply is concentrated in a small number of wallets, price volatility can widen sharply based on the buy and sell decisions of only a few holders.

Ultimately, the narrowing of the market-cap gap between Pepe and Shiba Inu is an example showing fund flows and the holding structure in the meme coin market, beyond a simple price rebound. Whether the re-emergence of dormant whales and Justin Sun's accumulation will support the uptrend, or whether large holdings will turn into selling pressure, remains a key variable for the market going forward.