Pump.fun Eyes Previous High as Bulls Regain Control With 20% Daily Surge

• Pump.fun (PUMP) Bounced back from the 50-day EMA level and made a powerful comeback. 

• PUMP price has surged by almost surged by 20% in the last 24 hours.

Pump.fun (PUMP) has shown great resilience over the recent trading sessions, and it has made a strong recovery after reaching a critical technical level. The cryptocurrency rebounded with great force off its 50-day Exponential Moving Average (EMA) at $0.00528, which served as a solid floor in the recent pullback. This recovery has sparked bullishness among traders. Moreover, PUMP is trading at around $0.0065, with an incredible 20% rise over the last 24 hours as per CoinMarketCap data.

The daily chart shows a strong recovery story in the price movement. Having fallen sharply since its recent high of about $0.009, PUMP was firmly supported in the $0.0026 range and then began a steady increase throughout September.

The recent consolidation period challenged investor confidence, yet the capacity of the cryptocurrency to maintain above the 50-day EMA has strengthened the underlying bullish formation. The moving average is still on an upward slope, which means that the medium-term trend is still positive towards buyers.

What Next For Pump.fun Price?

The technical indicators are also portraying a more positive outlook for the near future of PUMP. The Relative Strength Index (RSI) has rebounded out of oversold space and is now at 53.26, well within positive space. This indicates that the tide has turned back to the bulls without going into overbought status, with the possibility of further rising. The fact that the RSI has recovered above 50 indicates a fresh buying force and a better market sentiment.

The MACD (Moving Average Convergence Divergence) indicator is also sending positive signals. The bars of the histogram that had become very deep red in the process of the last correction are now appearing in lighter colour and are apparently moving toward green. This shows that the bearish momentum is declining and the bullish forces are increasing. The MACD line is also nearing a possible bullish crossover with the signal line, which might prove the reversal and bring in more buying interest.

As long as buyers keep this trend and protect the 50-day EMA support, PUMP seems to be in a good position to test its former high of around $0.009. Nonetheless, traders must keep an eye on volume verification and observe rejection at resistance levels to effectively control the risk.

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