Important collection restaurants
Pomptoken has fallen more than 40% due to heavy sale by top holders. Despite the bearish sentiment, exchange outlets and surpassing possible accumulation and a potential rebound suggest.
The recently launched pump.fun [PUMP] has seen a significant decrease and dropped under his initial currency (ICO) price.
According to Coinmarketcap data, token has lost more than 40% of its value since the launch and it continues to fall.
Why does the price of the pump fall?
At the time of writing, it actively registered another 15% dip and acted at $ 0.00368. During this period, participation of traders and investors has increased.
Data from Coinmarketcap showed that the 24-hour trade volume of PUMP has risen by 32% to $ 721 million compared to the previous day.
This rising trade volume, together with the price dip, refers to a strong bearish momentum and also suggests that this point can continue the momentum for the coming days.
Recently one Crypto -expert Share a data report that suggests that profit booking is the main reason for the ongoing price dip.
Source: Coinmarketcap
According to the expert, Pump has fallen under the private selling price of $ 0.004 due to heavy sale by top holders.
An investor who bought 25 billion pumps for $ 100 million has already sold 17 billion. Another wallet holder who bought 12.5 billion pump has sold their full position for $ 14.31 million.
This large -scale sale by large holders is probably the most important motivation behind the continuous price fall in Pump.
$ 2.16 million pump outflow, sign of accumulation?
In the midst of this dip, some investors and long -term holders started grabbing the opportunity to gather heavily.
Data from the on-chain analysis company Coinglass It revealed that scholarships worldwide have registered an outflow of $ 2.16 million in pump tokens in the last 24 hours.
In the current market sentiment, this outflow of fairs suggests potential accumulation, which can relieve sales pressure and help limit further price decreases.
Source: Coinglass
Trader sentiment, however, remained unchanged while they kept bet on the short side.
Data showed that the long/short ratio of Pump on the press of 0.88 was, indicating a strong bearish sentiment among investors.
It was remarkable that only 47% of traders took long positions, while 53% were on the short side.
Source: Coinglass
When combining these statistics, it seems that bears actively dominate it; However, the potential pump accumulation can delay the pace of the price fall.
PUMP -Price promotion and technical analysis
Now the most important question is whether the pump will restore or will continue to fall.
The technical analysis of Ambcrypto reveals that Pump is currently in a downward trend, but seems to form a bullish price action pattern.
Source: TradingView
Based on recent price action, the four -hour graph shows that Pump formed a bullish -falling wig pattern between the lower limits of the lower and the upper borders.
From writing, the price was near the lower limit, which suggests that the upward momentum could be on the horizon.
However, the trend can only shift if the pump breaks from this bullish pattern and a daily candle closes above the level of $ 0.0042.
The relative strength index (RSI) of the Activum was 32, indicating that it is in Oversold area and may be ready for a price repair or upward momentum.