In the second half of August, Pump.fun [PUMP] rallied by 104.7% at its peak, from $0.00265 to $0.00543. Since then, the Solana memecoin launchpad token has retraced by 29.5%
In fact, it was trading at $0.0038 at the time of writing.
Bitcoin’s [BTC] sell-off from the $82K-mark has sapped the altcoin market’s bullish momentum over the past 2-3 weeks. Additionally, there was a PUMP unlock of around $25 million on 12th September.
It is part of the cliff unlock of 1.47% float each month, with a vesting end date in June 2029. Can PUMP begin to recover from its 30% retracement?
PUMP trend remains bullish despite setbacks
The consolidation phase the PUMP token saw from March to late July was ended by August’s rally. The $0.00217-level was a resistance level beneath which the consolidation/downtrend fell, reaching a low of $0.00115 on 25th June.
In the weeks that followed, the 20-week moving average was flipped to support and the Bollinger Bands expanded as the volatility picked up. The uptrend picked up pace, attracted capital flows, and burst higher towards November 2025’s highs.
The retracement was close to the $0.00317 support level from late 2025-early 2026. The CMF was at -0.19, the lowest since May. The Awesome Oscillator also formed a bearish crossover to signal a momentum shift.
The indicators reflected the retracement and do not predict the future trend. It remains likely that the $0.0031-support zone will hold.
Traders’ call to action – Stay bullish
The 4-hour chart highlighted the retracement better. The 78.6% Fibonacci retracement level at $0.00325 also happened to line up well with the higher timeframe former resistance at $0.00317.
At the time of writing, the $0.00375-$0.0040 supply zone was an obstacle for the bulls to overcome. So long as PUMP’s price stays above $0.00317, a bullish bias is warranted.
A dip below this area would highlight bullish weakness, and a drop below $0.00265 would signal a downtrend in progress.
Final Summary
- PUMP has retraced by nearly 30% from its August high due to a combination of Bitcoin’s weakness and its own retracement phase.
- The $0.00317-level is a vital support and PUMP could maintain its bullish bias so long as this level holds.
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