Pump.fun Faces Sharp Correction as Bearish Indicators Emerge

Pump.fun (PUMP) has reversed course after recently hitting an all-time high (ATH) of $0.0090. The token has since fallen nearly 30%, trading around $0.0069, as technical indicators suggest more downside may follow.

The Moving Average Convergence Divergence (MACD) is signaling caution, with a potential bearish crossover on the horizon. If the signal line overtakes the indicator line, it would confirm weakening momentum and likely end the month-long bullish rally. This shift could trigger heavier profit-taking and add pressure to PUMP’s price.

Meanwhile, the Relative Strength Index (RSI) has slipped from the overbought zone, reinforcing the idea that PUMP’s rally has lost steam. While the RSI still holds above the neutral 50 level—indicating the token remains in bullish territory—further decline could expose PUMP to heightened volatility. If buyers fail to step in, bearish sentiment could dominate in the short term.

At present, the next critical support lies near $0.0062. A drop below this zone could open the door for deeper losses, while holding above it may stabilize price action temporarily. On the upside, reclaiming $0.0074 as a support floor would be key for any recovery attempt. Flipping this level could reignite momentum and push PUMP closer to retesting its ATH of $0.0090, assuming strong investor participation.

Overall, Pump.fun faces a decisive moment. Technical signals lean bearish, but resilience above key supports may leave room for a rebound. Traders should watch both the MACD crossover and RSI movement closely to gauge whether PUMP stabilizes or extends its decline.