Pepe has witnessed a pointy rally over the previous week, however a cryptocurrency analyst has warned it might change into a setup for one more transfer down.
Pepe Has Shot Up Over The Previous Week
PEPE has taken off to start out 2026 because the memecoin’s worth has gone up by greater than 60%, considerably outperforming all cryptocurrencies within the prime 50 by market cap record. On the top of the rally, the asset touched $0.00000725 on Sunday, nevertheless it has since seen some retrace again to $0.00000676.
Different meme-based tokens have additionally witnessed rallies just lately, with Dogecoin and Shiba Inu being up 17% and 15% over the previous week, respectively. However clearly, these pale compared to the 62% income that Pepe has managed in the identical window. Although the memecoin’s rally has been spectacular thus far, technical evaluation (TA) may very well level towards a bearish end result.
PEPE Approaching A Retest Of Head-And-Shoulders Breakdown Degree
In a brand new submit on X, analyst Ali Martinez has talked in regards to the latest PEPE worth motion from a TA perspective. Because the chart shared by Martinez reveals, the memecoin was earlier forming a Head-And-Shoulders sample.
The Head-And-Shoulders is a sample that’s characterised by a sequence of three worth peaks. The primary and third peaks are of a roughly comparable top and type the “shoulders,” whereas the central peak stands out as the biggest and is named the “head.”
The sample entails yet one more factor, a horizontal line that’s referred to as the “neckline.” Between the peaks, the worth retests this degree and finds assist at it. As soon as the appropriate shoulder has fashioned, nevertheless, the following retest is taken into account prone to result in a bearish breakdown.
As is seen within the graph, the every day Pepe worth noticed a fall beneath the neckline of its Head-And-Shoulders sample final yr. This led to a interval of sustained bearish motion, culminating in a low in December. With the rally that has occurred within the cryptocurrency’s worth in 2026 thus far, nevertheless, it has closed again the gap to the neckline. Whereas the event seems bullish, the analyst thinks a distinct end result might comply with for the coin.
As Martinez famous, “this might be a easy retest of the breakdown earlier than a transfer to $0.0000015.” It now stays to be seen how the retest of the extent, if one follows, will go, and whether or not it should end in one other rejection for PEPE.
Pepe isn’t the one memecoin that has seen bearish developments in TA just lately. Because the analyst has highlighted in one other X submit, Floki, which has loved a surge of over 40% previously week, has seen a promote sign on the Tom Demark (TD) Sequential.
