Trader Makes 7x Return Using 'Profit-Taking Replenishment' Strategy on PEPE

A trader using the 'Profit-taking Replenishment' strategy made a 7x return by going long on PEPE for a week, highlighting the potential of meme coins in the current market environment.

The PEPE token surged 25% in a single day, reflecting strong investor interest in meme coins as the crypto market regains momentum in early 2026. This rally is part of a broader altcoin rotation, with Ethereum and XRP also showing strong gains.

Bitcoin's recovery above $90,000 has played a central role in this shift, with many investors rotating capital into altcoins such as PEPE after Bitcoin's price reestablished key psychological levels according to analysis.

Why Did the PEPE Strategy Succeed?

The trader's success with PEPE is linked to strong whale accumulation and positive on-chain signals across the market. Whale activity has intensified as investors position themselves for potential price pumps in the first quarter of 2026.

PEPE is one of several meme coins that have benefited from the rotation away from Bitcoin. Altcoins have outperformed Bitcoin in recent weeks, with XRP flipping BNB in market capitalization and Ethereum gaining traction as a long-term investment.

What Are Analysts Watching Next?

Analysts are closely watching for signs of broader market adoption and whether Ethereum will continue to outperform in the coming months. Ethereum price action suggests strong support near $3,100, with volume and volatility suggesting further upside.

The broader crypto market is expected to remain volatile, with predictions that Bitcoin could reach $120,000 to $170,000 in 2026. Meme coins, including PEPE, may benefit from a general market rally.

The market is also watching for potential regulatory actions and macroeconomic indicators. The U.S. Federal Reserve's recent liquidity injections may continue to support risk assets, including digital currencies according to market analysis.

Investors are advised to monitor on-chain activity and whale behavior, as these can provide early signals of potential price movements in both Bitcoin and altcoins according to industry experts.

The success of the 'Profit-taking Replenishment' strategy on PEPE illustrates the opportunities and risks associated with meme coins. As the market continues to evolve, investors must remain vigilant about risk management and portfolio diversification according to market forecasts.