PEPE entered deeper correction phase in early February after a sharp sell-off wiped out almost half of its value in just two weeks. The meme coin is now trading around its yearly low zone after a 48% decline that occurred in line with the technical outlook shared by an analyst on X.
PEPE’s price action since the beginning of the year shows that the rally of a few days has completely ended, and the next question is whether the meme coin still works through distribution or preparing the ground for the next big phase.
PEPE completes full reversal to yearly lows
PEPE, like the rest of the crypto market, is trading on bearish momentum. This bearish momentum is much more established among meme coins such as PEPE, which were largely trading in a downward trend. PEPE in particular has been trading in a consistent range of lower highs and lower lows since May 2025.
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According to a technical update According to one analyst, PEPE has now completed what he described as a complete reversal towards the annual low, with the price reversing the upward move that marked the opening weeks of 2026.
The February update is directly related to this back to an earlier analysis published on January 5, where the same analyst warned that PEPE’s rally at the beginning of the year showed signs of a manipulated move. When, its price immediately rose from annual open to $0.00000715 without printing lower wicks over multiple time frames.
Furthermore, the price failed to confirm the confirmations of quality accumulation at the downside, which then led to a downward move as quickly as the price rose. As it stands, PEPE has now corrected about 48% from this January peak.
No accumulation signals yet
Unlike the rally in early January, the subsequent decline did not happen all at once on impulse. Instead, it followed a steady correction path that respected pre-established targets with a higher time frame. This is important context, with the analyst noting that achieving bearish targets does not automatically translate into an immediate bullish response.
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Looking at PEPE from a structural point of view, its price did what was expectedbut there has not yet been any behavior that would indicate accumulation or continued demand at current price levels. From this perspective, patience is required as further consolidation or even additional volatility may still be necessary before a more constructive structure develops.
At the time of writing, PEPE is trading at $0.00000425, having recovered somewhat from an intraday low of $0.00000402. The technical outlook for now is that, although key corrective targets have been met, PEPE will still decline further and continue to decline in the near term.
Featured image from Medium, chart from Tradingview.com