PUMP Price Stretched, RSI Signals Pullback While OI Stays High

• PUMP faces key support at $0.00740 while $0.008 remains strong resistance.
• RSI near 74 signals overbought conditions, hinting at possible pullback soon.
• Open interest stays high at $1.1B, showing traders remain heavily engaged.

The PUMP token is showing early signs of tension as traders weigh the possibility of another explosive move. 

Its latest retracement has left many asking if history might repeat with a sharper rally on a bigger scale. This uncertainty mirrors what is happening with Hyperliquid, which trades at $58.83 with open interest climbing to $1.51 billion. 

Market positioning on Hyperliquid remains sharply divided. Smart money holds $86 million long against $40 million short, while public figures are $47 million long versus $22 million short. 

Even whale wallets show a rare balance, with $259 million long and $248 million short. This polarized stance reveals a tug-of-war that could quickly tilt on liquidations or shifts in sentiment, a scenario that resonates closely with PUMP’s current setup.

Price Action and Key Levels

PUMP as of press time is priced at $0.007378, slipping 7.71% over the last day. Despite this decline, trading volume surged by 28.36% to $623 million, showing that market participants remain highly engaged. 

The token reached a recent peak near $0.008092 but quickly pulled back, leaving resistance firmly around $0.008. Support is now being tested at $0.00740, a level that may decide the token’s short-term direction.

If support holds, stabilization or a short rebound could follow. However, a breakdown below $0.00740 may open the way for further downside. Conversely, breaking above $0.008 would be a significant bullish trigger and could attract fresh momentum traders.

Indicators Signal Caution

Technical indicators offer a mixed picture. The MACD is still showing bullish momentum, but its histogram has started flattening. This suggests the upward drive may be weakening. Meanwhile, the RSI stands at 73.73, placing PUMP in overbought territory. Such a reading often precedes either a price pullback or a period of consolidation.

These conditions highlight that while bullish forces remain active, the market is stretched. Hence, traders may prefer waiting for clearer confirmation before betting on another leg higher.

Open Interest and Market Sentiment

Another critical factor is derivatives activity. Total open interest in PUMP futures stands at $1.1 billion, with a slight daily decline of 1.16%. The majority of this open interest is concentrated on Hyperliquid at $631.7 million, followed by Binance at $235 million and Bybit at $186.5 million.

This distribution underscores that speculative positioning remains strong, especially on high-volume platforms. Besides, the rising share of perpetual contracts signals that traders are betting aggressively on short-term moves.