The Indians who first inhabited this area of Berks County were called the Lenni Lenape Indians, which meant "original people". The tribe in this area was called the Minsi or Wolf Tribe. Out of all the Lenni Lenape tribes, the Minsi were known to be quite warlike at times. They had their headquarters in the Berks County area for about twenty years. Later, these Indians were known as the Delawares, a name given them by European settlers.
Indian inhabitants in the area referred to a spring located here as the "sunken spring". Later, it would be called the "sinking spring" by the European settlers. Today, the spring still runs periodically. There is a monument marking the site of the spring between 3600 and 3618 Penn Ave. on the south side of Penn Ave.
The Borough of Sinking Spring was incorporated on March 10, 1913. The current population of the Borough is over 3,000.