Date: Tue, Oct 21, 2025 | 09:54 AM GMT
The cryptocurrency market has cooled off after an energetic start to the week that briefly lifted Bitcoin (BTC) above the $111K mark on Monday before sliding below $108K today. Ethereum (ETH) also dropped over 4%, dragging down major altcoins — including Pump.fun (PUMP).
PUMP has taken a notable 5% correction today, but beneath the red candles, its latest technical setup on the lower timeframe suggests that it may be gearing up for an upside move soon.
Source: Coinmarketcap
Cup and Handle Pattern Signals Possible Breakout
A closer look at the 1-hour chart shows PUMP forming a textbook Cup and Handle pattern — a bullish technical structure that often signals the continuation of an uptrend.
After being rejected near the neckline at $0.0042 yesterday, the token pulled back to a low around $0.0037, where the 100-hour moving average provided a strong base of support. Since then, PUMP has rebounded steadily, now trading near $0.0039 — shaping the “handle” portion of the pattern, which typically precedes a breakout attempt.
Pump.fun (PUMP) 1H Chart/Coinsprobe (Source: Tradingview)
What’s Next for PUMP?
If the Cup and Handle formation plays out, a decisive breakout above the $0.0042 neckline could trigger a strong bullish rally, pushing PUMP toward its next technical target at $0.0051 — representing a potential 32% gain from current levels.
However, if the price fails to hold above the 100-hour MA and dips below $0.0037, the bullish structure could weaken, signaling that more consolidation may be needed before the next big move.
meanwhile Traders should keep a close eye on the $0.0042 neckline—a breakout here could mark the beginning of a major trend shift.
