After an impressive rally, PUMP appears to be entering a pullback.
Ripple (XRP) Price Predictions: Analysis
Key Support levels: $0.0076, $0.0069
Key Resistance levels: $0.0090
1. Pullback Starting After Massive Rally
The price of PUMP has rallied 240% since late August. This allowed it to make a new all-time high and almost reach $0.01. The current ATH is found at $0.0090, which will also act as a resistance level in the future should buyers return. At the time of this post, the price is in a pullback and is currently testing the support at $0.0076.
2. Sellers Could Return
After such an impressive rally, PUMP is overdue for a proper correction that can see sellers return and push the price lower. Should $0.0076 fall, then buyers could retreat to the $0.0069 level, which was the old all-time high achieved during its launch week.
3. RSI Is Overbought
Considering PUMP went up non-stop for weeks, the momentum indicators reached overbought conditions. This can be seen on the 12h RSI, which hit a record at 92 points. Since then, the price fell somewhat, which allowed this indicator to correct.
Nevertheless, the RSI remains in the overbought region at over 70, which could signal that this correction may continue.
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