$PUMP shows bullish potential after breaking long-term resistance. Key support at $0.0020, targets at $0.00872, $0.015, and $0.026.
The $PUMP token has recently entered a bullish phase after breaking a long-term descending resistance.
After a period of distribution and correction, early signs of a price reversal are emerging. As long as the price stays above the $0.0020 support level, analysts are projecting further price growth.
Break of Long-Term Descending Trendline
One of the most notable developments is the break of a long-term descending trendline.
This trendline had served as a barrier, preventing the price from rising higher for an extended period.
The recent break above this resistance line signals a potential shift in market sentiment.
The breakout above the trendline is crucial for the token’s bullish outlook. This move places $PUMP in a new “bullish expansion zone,” where higher price levels could be reached.
Traders often look for these types of breakouts as indicators of trend reversals.
Additionally, the break follows a descending wedge structure, which is commonly associated with upward price movement.
This structure suggests that the price has built enough momentum to push higher. With the trendline cleared, the path is now open for further upward movement.
Support at $0.0020 Strengthens Bullish Sentiment
Another key factor is the strong support zone between $0.0022 and $0.0020. These levels have held up well, indicating a solid foundation for $PUMP’s price.
As long as the token stays above this support zone, the bullish sentiment remains intact.
The price has also been showing signs of accumulation, with multiple support reclaims along the $0.0020 level.
This indicates that buyers are actively entering the market and may continue to push the price upward. A steady demand at this level suggests that there is continued interest in $PUMP.
Additionally, high-time-frame (HTF) demand signals confirm that the $0.0020 support zone is important.
This demand is helping to keep the price from dropping further. If this support continues to hold, it could serve as a springboard for a higher move.
Related Reading: Pump.fun Moves $148M to Kraken, Sparking Treasury Questions
Potential Price Targets and Risk Considerations
CryptoPatel has set price targets for $PUMP at $0.00872, $0.015, and $0.026. These targets suggest potential gains of 500% to 1000% if the bullish trend continues.
However, traders should be aware that this is a high-risk, high-reward setup.
The key risk factor is whether $PUMP can stay above the $0.0020 support level. A daily close below this level would likely invalidate the current bullish outlook.
As a result, traders should monitor the $0.0020 support closely for any signs of weakness.
Investors should also consider conducting their own research and evaluating the risks before making any decisions.
While the technical setup is promising, it is crucial to remain cautious in the volatile crypto market. This analysis is not financial advice, but a technical observation of current market conditions.
Source: https://www.livebitcoinnews.com/pump-technicals-turn-bullish-above-0-0020-support-level/
