Does a 70% Dip in Pepe Coin Invalidate Its Bullish Impulse Wave?

When a crypto like Pepe Coin PEPE experiences a sharp 70% dip during an impulsive wave, many traders instinctively assume the bullish setup has completely failed. However, if we carefully apply Elliott Wave Theory, the story might not be so straightforward.

Let Break the chart down


According to classical Elliott Wave rules:

• Wave 2 can retrace up to 99% of wave 1 — as long as it does not fall below the start of wave 1.

So we can consider Pepe coin an example of Elliot wave 2 correction but how do we confirm it ?

What a 70%-80% Dip Means for Pepe Coin

A 70% dip sounds extreme, but if it occurred during a corrective wave (especially wave 2), it might still be within acceptable limits. Memecoins like Pepe are highly volatile by nature. It’s not uncommon for these assets to experience deep corrections that would seem catastrophic in traditional markets but are relatively normal within the context of crypto impulsive structures.

Detection of possible opportunities 🤗

Thus:

• If the price of Pepe did not drop below the starting point of wave 1, the impulsive wave remains valid📈✅

• After a deep correction, a strong rally could mark the beginning of wave 3, which is often the most explosive wave in an impulse sequence.


Signs to Watch After a Deep Correction

After a 70%-80% retracement, it’s important to observe:

• A clear reversal pattern (like a double bottom or bullish divergence).

• A break of key resistance levels to confirm that a new impulsive move (wave 3) is starting.

This hasn’t yet happened because Pepe is still trading below the daily resistance level so some might want to see a clear break out ✅🤗

• Volume increase, signaling fresh buying interest.

As for the volume we have started seeing some differences ✅

If these elements line up, Pepe could still have strong bullish potential ahead, following the classic Elliott Wave roadmap.

Conclusion

A 70%-80% correction does not automatically invalidate an impulsive wave according to Elliott Wave Theory, especially in a meme coin like Pepe Coin. The most critical factors are maintaining the overall structure of higher highs and higher lows and not breaching the starting point of wave 1.

As a Traders you should focus more on structure, volume, and momentum rather than the percentage dip alone.


My view on Pepe coin

I am bullish on Pepe coin so far as it hold above the current zone and I hold Pepe coin ✅

Buy on spot here if you want to hold ✅📈⬇️

$PEPE

I believe the coming month will be good for Pepe coin ❤️ and investors will enjoy it

Please if you are to trade it then it is your own decision 🤗that is why I have taken time to break the chart down 📈

Keep checking my profile any further update on Pepe coin

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Some might appreciate me for my good work ❤️❤️❤️