The shocking downfall of Pump.fun: Did traders forget their umbrellas? ☔️💥

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Key Takeaways

Why is Pump.fun facing pressure?

Well, it looks like Pump.fun’s buybacks took a nosedive – down by 50%, to be precise – tumbling to $1.27 million. Revenue? Nearly snorted out of existence, slipping to $1.3 million. And transactions? Hitting a three-month low with all the grace of a drunken ballerina. Who knew that a digital token could have such a dramatic soap-opera? 🎭

What levels matter for PUMP?

Support sits at a shy $0.0055 – but beware of the lurking $0.0050, shy yet dangerous. To climb back up to $0.0065, Pump.fun’s team will need to summon some serious inflows – perhaps a miracle or at least enough to buy a decent cup of coffee. ☕️

Pump.fun [PUMP] has been floundering since touching $0.0087 on September 15th. The poor thing has been trapped in a descending channel, falling to $0.0053, probably dreaming of better days. 💭

Right now, PUMP hovers around $0.0058, suffering a 25% weekly loss. Market cap shrank from an impressive $3 billion to a modest $2.06 billion – less moolah, less magic. Why the tumble? Let’s unravel this melodrama.

Buybacks fall back to August levels

Turns out, the main villain in this plot is a drastic drop in capital inflows – as observed by the crypto prophets at AMBCrypto. Think of it as investors yawning and saying, “Meh, not today.”

Crypto analyst Clemente, with all the seriousness of a weather vane, reports that Pump.fun’s daily token buybacks have halved in USD terms compared to just ten days ago.

On September 22nd, the team bought a measly 203 million PUMP, worth a sad $1.27 million – the lowest since the 5th of August. Looks like even the whales are losing interest – or at least, adopting a more frugal approach.

Clemente sniffed that coughing up $3 million daily to creators and another $3 million on buybacks without seeing much active user boost is about as sustainable as a soap bubble. 💨

Revenue decline hits activity

The Pump.fun crew has cut back on acquiring new users because – surprise! – revenue has taken a nosedive, & thus, their spending on acquisitions followed suit.

Data from Artemis reveal that revenue dipped to $1.3 million – last seen on September 8th, marking a familiar decline. This slump points to a decline in protocol activity and overall usage. Sad, isn’t it?

The bottom line? Fewer transactions, fewer funds, fewer buybacks. The once lively Pump.fun now seems more like a deserted street at dawn.

And just like that, the spectacle of activity dwindles to a whisper – no more Pumpswap dancing in the moonlight.

Spot and Futures data confirm caution

Investors, in their infinite wisdom or perhaps out of sheer boredom, have reduced their exposure. CoinGlass reports spot inflows at $101 million, outflows at $97 million – a net inflow, but barely enough to light a candle. The net flow surged by a staggering 179%, reaching $4.27 million, which, frankly, shows more hope than actual movement.

On the futures market, things are even gloomier. Outflows hit $581.9 million, outpacing inflows of $554.3 million – net negative $27.7 million, because traders are playing it cautious, perhaps hiding under their trading desks. 🕵️‍♂️

Can $0.0055 hold?

With buybacks now on a slow death march, revenue dwindling, and traders nervously retreating, PUMP is riding a fragile line. If this trend persists, brace yourself – support at $0.0055 might crack, and we could see it slip towards the infamous $0.0050.

But, if Pump.fun’s team pulls a rabbit out of the hat and injects some serious inflows, maybe, just maybe, the token will muster a rebound past the historic resistance at $0.0065. Stranger things have happened, or so we tell ourselves during late-night crypto insomnia. 😴

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2025-09-24 15:09