PUMP, the powering token for the Pump.fun launchpad, is among the biggest gainers today, recording double-digit gains despite the broader market lull.
It marks a paradigm shift, just a week after the network faced pressure over the token crash and market share collapse.
PUMP Meme Coin Surges on Alon’s Announcement
While pioneer meme coins like Dogecoin (DOGE) and Shiba Inu (SHIB) struggle with single-digit gains, the PUMP token is up by nearly 15%. As of this writing, it was trading for $0.003334.
It comes barely a week after reports of the Pump.fun ecosystem is losing market share, and associated 60% drop in PUMP value over two weeks.
However, the tides have changed with the meme coin outperforming its peers like TROLL amidst a purported Solana meme coin frenzy.
For PUMP, however, the surge follows a vague announcement from Pump.fun launchpad co-founder Alon Cohen. The crypto executive mentioned an upcoming announcement for native community coins within the Pump.fun ecosystem this week.
“Huge announcement coming for organic community coins in the pump fun ecosystem this week,” Alon shared in a post.
Vague as it was, the announcement inspired optimism among PUMP community members and culminated in a notable price surge.
Meanwhile, blockchain analytics platform Lookonchain highlights increasing whale interest in the PUMP meme coin. According to the report, one whale bought 1.06 billion PUMP tokens worth $3.28 million on Tuesday.
This large holder anticipates a significant surge in the meme coin and opened a 3x long position with 594 million PUMP tokens worth $1.83 million.
Despite the risks associated with leverage trading, the whale is already realizing significant gains as the price of the PUMP meme coin continues to rally.
PUMP Price Outlook After Breaking Consolidation
Data on TradingView shows that the PUMP price has escaped a multi-week resistance, flipping it into support, and now targets the $0.003783 roadblock.
With support from the 50- and 100-day SMAs (Simple Moving Averages) at $0.002779 and $0.003084 offering new entry points for bulls, PUMP price could extend the gains to $0.003783, up nearly 15% above current levels.
Technicals align with the rising RSI (Relative Strength Index) to suggest growing momentum. Additionally, the RSI position 67 indicates more room to the upside before PUMP was considered overbought.
Conversely, if early profit booking kicks in, PUMP price could lose support due to the 100-day SMA at $0.003084, falling back into its range-bound movement or horizontal consolidation.
If selling pressure extends below the 50-day SMA, the PUMP price could drop below the resistance due to the descending trendline, exacerbating the downtrend.
The dire case could see PUMP retest the $0.002324 support floor, down over 25% below current levels.
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