PUMP Price Prediction: The PumpFun buyback frenzy triggers a Rebound, can the massive funds prevent another crash?

The price of PumpFun (PUMP) experienced a brief rebound, but today (1) it fell back to $0.00259 during the Asian session. Its controversial buyback strategy has sparked a trading frenzy. Nevertheless, there are still skeptics questioning whether the nine-figure funds of this meme coin launch platform can support the rebound. Order flow data indicates that there remains an inescapable selling pressure beneath the surface of PUMP.

PUMP Record-breaking ICO: Controversies and Challenges

PumpFun is widely regarded as a meme coin launch platform based on Solana, allowing anyone to create and trade tokens instantly through its bonding curve and built-in AMM PumpSwap. It gamifies the token issuance and discovery process.

The public sale of its native token PUMP lived up to expectations. The ICO of $PUMP issued 150 billion tokens at a price of $0.004 per token, raising approximately $500 million in just 12 minutes, making it one of the fastest cryptocurrency financings in mid-2025.

This ICO has received support from multiple centralized trading channels, and PUMP has been traded on major platforms like Gate, providing immediate liquidity and visibility for the listing.

The enthusiasm in the secondary market initially pushed PUMP above $0.0068, but the upward trend quickly reversed due to enormous selling pressure and growing distrust. Whales transferred tokens worth over $160 million to centralized exchanges, triggering massive dumping and a sharp price decline. In addition to the dumping, the promised public airdrop was also postponed, and the team's vague communication sparked panic selling.

PumpFun's Self-Rescue Strategy: Buyback Frenzy and Trading Rewards

(Source: DefiLlama)

This is enough to force the platform to adopt an aggressive defensive strategy. PumpFun started using almost all daily expenses to repurchase PUMP, including the repurchase of 111,953 SOL (approximately 18.3 million USD) in mid-July, which led to a brief price increase but also raised concerns about its sustainability and effectiveness.

To reignite activity, PumpFun and the CEX platform have launched a "Trade to Earn" pool, providing additional PUMP rewards for trading, aimed at reigniting trading volume amid a cooling momentum.

Despite experiencing turbulence, the project's historical financial accumulation remains considerable. On-chain analysis shows that PumpFun has generated approximately 2,016,391 SOL (about 398 million USD) in revenue. Some market participants believe that this substantial amount of funds is optional capital for stabilizing the market or future development plans.

PUMP Breakout Confirmed: Can the Bulls Continue?

The financial background has laid the foundation for PUMP's technical breakthrough. PUMP/USDT recently completed a classic double bottom pattern, with bulls successfully pushing the price above the key neckline of $0.00310. The current question is whether this bullish structure can translate into sustained upward momentum.

The price pattern on the 1-hour chart is clearly visible, marked by a clean and decisive retest of the neckline and a brief consolidation above it. However, the subsequent trend will depend more on the volume and order flow strength observed at the turning point of the asset, rather than the shape of the chart.

The structure of this breakout is defined by continuous accumulation and higher lows, ultimately culminating in a breakout trend accompanied by a moderate surge in trading volume. If the breakout persists, the double bottom itself will have theoretical significance, with a target price close to 0.00360 USD.

Order Flow Data: Hidden Selling Pressure

The trading volume footprint data shows that the situation beneath the surface of the market is mixed. In the early stages of trading, Delta plummeted significantly, especially during the drop around 09:30 UTC. Although the total trading volume exceeded 4.5 billion, the net Delta reached -773 million. This can be seen as a closing washout or large-scale profit-taking. In any case, it did not break the market structure. Subsequently, the market experienced a Rebound, with strong buying interest appearing above 0.00310 and a significant positive delta value.

Between UTC time 11:30 and 12:30, the order flow appeared more balanced. The key Delta value surged to +112 million, dropping to 0.00314, helping to stabilize the price. Although the price remained steady, the latest 30-minute chart showed a net negative Delta value of -199 million. This may indicate the presence of hidden dumping or signs that buyers are starting to absorb the selling pressure.

Nonetheless, the 0.00310 to 0.00312 area remains a key support level. If buyers cannot hold that area, the trend may collapse and drop towards 0.00295, with the previous support level located just below the right shoulder of that formation. The current pattern still looks solid, but the bulls now need to break through the neckline further. Without subsequent action, the pattern will weaken, and the bears may regain control.

Conclusion:

The buyback frenzy of PumpFun brought a brief Rebound for the PUMP coin, but the hidden dumping pressure behind it and the market's doubts about its sustainability leave its future trajectory full of uncertainty. Whether the massive capital reserves can prevent another crash will depend on PumpFun's ability to continuously attract buying pressure and rebuild market confidence.