Oh, gather ’round, my dear little investors! The PUMP.fun token has done a marvelous jig, leaping over 20% in the last 24 hours! Why, it’s as if it found an enchanted trampoline! Over the past month, this spunky little token has bounced up more than 60%. But don’t get too giddy just yet-if you squint your eyes and look further back, you’ll see it’s down about 37% over the last three months. How terribly awkward!
You see, this wild rally is not happening in a joyous uptrend; it’s rather like a sprightly dance happening at a gloomy tea party. And this raises a rather exciting question: Are we at the top of this exhilarating rollercoaster, or is the price just taking a breather before zooming up again? The charts seem to whisper that the latter deserves a good, long look!
The First Breakout Still Points Higher
This current jubilant rally didn’t just pop into existence like a jack-in-the-box! No, no! On January 13th, PUMP broke free from the handle of a grand cup-and-handle pattern, much like a butterfly escaping a cocoon. This pattern appears when the price rounds out a base, pauses for a cheeky moment, and then bursts higher.
When that handle broke, the projection pointed skyward towards the magical $0.0045 area. Oh, what dreams may come! Even after this recent jolly jaunt upwards, the price is still following that original path as if it were on a treasure map.
Craving more delightful token tales like this? Sign up for Editor Harsh Notariya’s Daily Crypto Newsletter here!
The crux of the matter is quite simple: the breakout structure is as solid as a rock! Nothing in this recent frolic has broken it. The price is behaving just the way a post-breakout asset should, just like a well-trained puppy. And lo and behold, another cup is forming, according to our trusty charts!
But wait! What has changed is the speed! The PUMP price dashed into resistance faster than a cat chasing a laser pointer, and now we have a wall standing tall before us.
A Second Cup Forms As Momentum Hints At Consolidation
After our jubilant January breakout, the PUMP price didn’t plummet into despair. Oh no! Instead, it started crafting a smaller cup structure, like a little chef baking a mini cake on a lower timeframe. And believe me, this is important!
The first cup had a frowny downward-sloping neckline, while the current one sports a cheerful upward-sloping neckline. Now, that difference is like comparing a grumpy old troll to a merry little elf! An upward-sloping neckline usually signals improving demand, even if the price decides to take a nap.
At this very moment, the price is pressing against resistance near the tippy-top of that delightful smaller structure. That’s the wall! When price bumps into resistance after a sharp move, it often halts-not because buyers have vanished like socks in a dryer, but because sellers finally decided to join the party!
To see whether we’re building energy or merely losing steam, we turn to our trusty momentum indicators! The Relative Strength Index (or RSI, as the cool kids say) helps us measure momentum. During this grand movement, the RSI seems to be pushing higher, even while the price begins to slow down. Quite the curious case!
Now, if the next PUMP price candle decides to frolic below $0.0031, we might confirm a hidden bearish divergence (which sounds like a fancy name for a sad trombone!). A similar hidden bearish divergence waved hello when the last handle consolidation began on January 6. How dreadfully mysterious!
Flows Signal Consolidation, Not PUMP Price Reversal
Meanwhile, the whales-those big, blubbery holders-are reducing their balances by about 3.6%, bringing total whale holdings down to roughly 14.37 billion tokens. Oh, how they must love their snacks! This selling happened after the rally, not before it, which is rather telling.
This matters because whale selling after a surge usually means profit-taking, not panic! It often leads to sideways shenanigans rather than a full trend break. Just another sign of consolidation, dear reader!
And oh, the exchange flow data tells a similar tale! After steady outflows over the past two days, PUMP suddenly experienced a shift to net inflows, with around $900,000 making its way onto exchanges. When coins hop onto exchanges after a rally, it typically reflects short-term selling pressure. Quite the conundrum, isn’t it?
Ah, now the levels become critical, like the final moments of a suspenseful story!
A pullback towards $0.0028 or even $0.0026 would still fit snugly within the consolidation range. However, a drop below $0.0023 would weaken our precious structure. And oh dear, a move under $0.0022 would completely invalidate the bullish setup-just like a party that ends before the cake is served!
On the upside, keep your peepers peeled for the key level near $0.0032. A clean break and hold above that area would signal that the wall has finally been absorbed. If that happens, both the original cup-and-handle breakout and the newer cup formation point toward the same target near $0.0045-what a delightful coincidence!
Such alignment is rare, my friends! Two separate patterns pointing to the same level usually strengthen the case, not weaken it. Marvelous!
For now, the PUMP price has slammed into resistance at $0.0031, like a curious toddler bumping into a wall!
But everything around that wall suggests pressure is building, not fading. If the consolidation holds, the PUMP bounce that follows could be stronger than the previous leap! How utterly thrilling!
Read More
- Best Controller Settings for ARC Raiders
- Donkey Kong Country Returns HD version 1.1.0 update now available, adds Dixie Kong and Switch 2 enhancements
- Ashes of Creation Rogue Guide for Beginners
- When to Expect One Piece Chapter 1172 Spoilers & Manga Leaks
- Sega Insider Drops Tease of Next Sonic Game
- Fantasista Asuka launches February 12
- Hytale: Upgrade All Workbenches to Max Level, Materials Guide
- All 6 Takopi’s Original Sin Episodes, Ranked
- 10 Movies That Were Secretly Sequels
- 10 Great Netflix Dramas That Nobody Talks About
2026-01-27 16:07