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.

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.

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.