PEPE Price Set for Recovery After 70% Decline Since All-Time High

Key Takeaways

• PEPE’s price fell 70% after its all-time high in December 2024.
• PEPE might have completed the first portion of its correction.
• Can PEPE mount a relief rally, and what’s the target if yes?

PEPE was one of the best-performing meme coins of the current market cycle, increasing nearly 30,000% since its launch and culminating with an all-time high price of $0.0000283 in December.

However, the rally lost steam, and PEPE fell 70% since its all-time high.

A recent bounce has sparked optimism, raising hopes that PEPE has finally completed its correction.

Let’s examine the price movement to see if this is the case or if more downside awaits.

PEPE Reaches Support

The PEPE price has fallen significantly since its all-time high of $0.0000284 in December 2024. The downward movement led to a low of $0.0000079 on Feb. 3, 2025, a decline of 70% since the all-time high.

During the downward movement, PEPE broke down from the $0.0000165 horizontal support area, which will now likely act as resistance.

Despite its decline, PEPE has started to mount a short-term bounce. This started after the price reached an ascending support trend line that existed for 308 days.

As long as the support trend line is intact, the PEPE price may increase toward the $0.0000165 horizontal resistance area.

However, it is worth mentioning that technical indicators are bearish. The Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) are both falling and have crossed below their bearish thresholds (black circles) at 50 and 0, respectively.

The daily time frame is slightly more bullish. It shows that the PEPE price trades inside a descending parallel channel, often containing corrective movements.

On Feb. 3, PEPE bounced and created a bullish candlestick (green icon), beginning the current upward movement. A similar bullish candlestick led to an upward movement toward resistance in December 2024.

Additionally, the RSI is breaking out from its bearish divergence trend line (green), while the MACD has made a bullish cross (black circle).

Nevertheless, PEPE still trades in the channel’s lower portion, indicating a weak bounce so far.

As a result, the price action does not confirm whether the PEPE price prediction is bullish or bearish.

PEPE’s Cycle Over

The long-term wave count suggests that PEPE has finished its bullish cycle. It shows a completed five-wave upward movement starting from launch, creating a lengthy W-X-Y corrective structure.

Wave W may have ended since the price has reached a long-term horizontal support area.

If the count is accurate, the duration of the upward movement suggests the correction could continue until December 2025, taking the PEPE price near $0.0000022.

The short-term count supports this outlook. The sub-wave count (black) suggests wave W is over since sub-waves A:C have the same length. The fact that the decline is contained inside a channel reinforces this outlook.

So, the wave count suggests the PEPE price has started its relief rally, which will be confirmed with a breakout from the descending parallel channel.

If this happens, PEPE could complete wave X at a cost of nearly $0.0000165.

Failure to move above the channel’s midline will invalidate this count. PEPE could fall toward the support trend line at $0.0000050 in that case.

This would mean the decrease is a five-wave downward movement instead of an A-B-C structure.

PEPE May Finally Bounce

In all likelihood, the PEPE price has completed its bullish cycle. However, after a 70% price decline, the first part of the correction may also be over.

If this is the case, a considerable relief rally may follow, taking PEPE toward $0.0000165. Afterward, the downward movement could continue.