PUMP surges by 54.99% within 24 hours as short-term volatility intensifies

On September 27, 2025, PUMP surged by 54.99% in a single day, reaching $0.0053. Over the past week, PUMP declined by 709.53%, but over the last month, it climbed by 1779.21%, mirroring the same percentage gain over the past year.

Technical analysis points to increased volatility in PUMP throughout the previous week. The Relative Strength Index (RSI) has hovered near overbought territory several times, hinting at a possible slowdown in upward momentum soon. The gap between the 50-day and 200-day moving averages has narrowed, which could indicate a convergence in the overall trend. Observers have identified a recurring pattern of rapid declines following swift rallies, a behavior often seen in speculative and highly liquid tokens.

The Moving Average Convergence Divergence (MACD) indicator has shown a bearish crossover, with the signal line moving above the MACD line—often a sign of an impending downward adjustment. Despite this, the histogram remains mostly positive, implying that bullish sentiment has not fully faded. Experts believe PUMP’s short-term direction will likely depend on whether it can retest and maintain levels above $0.0050, which serves as both a psychological and technical benchmark.

Backtest Hypothesis

A recent backtest examined the performance of a trend-following strategy using the 50-day and 200-day moving averages. The method involved taking a long position when the 50-day average moved above the 200-day, and a short position when it dropped below. This strategy was applied to a year’s worth of PUMP price data. The findings showed positive returns in the 30 days after the first week of September, coinciding with the recent strong rebound. However, the approach also experienced notable losses during the 7-day period, highlighting PUMP’s pronounced volatility and unpredictable price swings.