In an unexpected twist following its recent bullish surge, Jupiter (JUP), the token behind the leading Solana-based decentralized exchange (DEX) aggregator, has now formed a death cross on its daily chart. This technical indicator, coupled with the token’s Relative Strength Index (RSI) approaching overbought territory, suggests that JUP might be gearing up for a correction or a period of consolidation. Jupiter (JUP) price surge Jupiter has been making headlines with its strategic initiatives aimed at enhancing the token’s value and utility. The pseudonymous founder, Meow, announced at the inaugural Jupiter community conference, Catstanbul 2025 , a monumental plan to burn 3 billion JUP tokens, reducing the total supply from 10 billion to 7 billion. This move was complemented by a buyback strategy where 50% of the platform’s fees would be utilized to repurchase JUP tokens, further bolstered by the acquisition of Moonshot , a memecoin launchpad, which saw significant traction with the launch of the Official Trump memecoin. Notably, the token burn and buyback announcement comes barely a week after Jupiter announced the largest user airdrop in history to 2M qualified wallets . These developments contributed to a 40% price surge, pushing JUP’s price to $1.26 before settling at $1.23 at the time of reporting. JUP price: technical indicators Despite the current bullish stance, the charts tell a cautionary tale. A death cross, a technical bearish pattern, has emerged with the 50-day moving average crossing below the 200-day moving average on JUP’s daily chart. Jupiter price chart by TradingView Historically, this pattern signals that a longer-term bearish trend might be on the horizon or, at the very least, indicates a significant pullback risk after a period of rapid gains. The market’s reaction to this technical development could be multifaceted. On one hand, it signals to investors and traders that the immediate upward trajectory might be losing momentum. On the other, it’s a reminder that even in the wake of positive fundamental news, market corrections can occur to realign prices with underlying value or to cool overheated speculation. This is normally a healthy adjustment, allowing for a more sustainable growth path in the future, rather than an abrupt end to the bullish trend. Adding to the cautionary signals, JUP’s RSI is currently hovering around 66, nearing what traders often consider the overbought threshold of 70. This suggests that the token has seen significant buying pressure, potentially leading to a scenario where sellers might step in to take profits, thus pushing the price down. While the RSI alone doesn’t guarantee a price drop, its current level, combined with the death cross, paints a picture of a market that might be ripe for a correction. If the correction occurs, investors should watch the support level at $0.8, which could see the token’s value drop to as far as $0.7 if breached. The post Jupiter price outlook: JUP forms death cross, signalling pullback risk ahead appeared first on Invezz
