The research on the deformation mechanism of monopile foundation supporting offshore wind turbines is significant to optimize the design of a monopile foundation under wave and current load. In this paper, a three-dimensional wave-pile-soil coupling finite element model is proposed to investigate the deformation mechanism of monopile undercurrent and fifth-order Stokes wave. Different from the conventional assumption that there is no slip at the pile-soil interface, Frictional contact is set to simulate the relative movement between monopile and soil. Numerical results indicate that under extreme environmental conditions, the monopile foundation sways within a certain range and the maximum displacement in the loading direction is 1.3 times the displacement in the reverse direction. A further investigation has been made for a large-diameter pipe pile with various design parameters. The finite element analyses reveal that the most efficient way to reduce the deflection of the pile head is by increasing the embedment depth of the monopile. When the embedment depth is limited, increasing the pile diameter is a more effective way to strengthen the foundation than increasing the wall thickness.