Solana News Today: Pump.fun's Buybacks Stabilize PUMP Amid Bearish Pressure

Pump.fun, a leading memecoin launchpad on the Solana (SOL) ecosystem, has completed a $58.7 million buyback of PUMP tokens, representing 4.261% of the token’s circulating supply. This buyback, executed between August 20 and 26, utilized nearly all of the platform’s revenue for the period, totaling $10.657 million. The initiative has led to a 4.261% reduction in the token’s circulating supply, with the buyback representing 99.32% of Pump.fun’s total revenue for that timeframe [1].

The buyback has contributed to a 4% increase in the PUMP token’s price, which rose to approximately $0.003019 during the late North American trading session. The price rebound has been notable, with PUMP surging by 20% over the past two days and experiencing a 17% increase in 24-hour traded volume, reaching about $226.3 million. Despite this, the token remains 55.7% below its all-time high of $0.0042, recorded on July 16, 2025. The token has also shown signs of horizontal consolidation since hitting its all-time low of $0.002283 on July 29, 2025 [1].

Pump.fun has maintained a dominant position in the Solana meme coin launchpad market, currently controlling approximately 84.1% of the market share. Over the last 24 hours, the platform recorded an average traded volume of $781 million from 413,000 memecoin traders. Its nearest competitor, LetsBONK.fun, generated $53.1 million in revenue during the same period, accounting for a 5.72% market share [1]. Pump.fun has crossed $800 million in lifetime revenue and continues to attract more traders and developers compared to its competitors, partly due to its recent launch of the Glass Full Foundation, which provides liquidity support to its most vibrant meme projects [1].

The PUMP token is currently trading near $0.002777, with a critical support level at $0.0027. Technical indicators suggest a strong downtrend, as evidenced by an RSI in oversold territory at 28 and an ADX reading of 41. The token’s price has formed a double-bottom pattern, and a breakdown below the $0.0027 level could expose the token to a further 20% decline, targeting $0.0022. Conversely, a rebound above $0.0032 could trigger a short-term rally toward $0.00355–$0.0042 [3].

Pump.fun’s buyback strategy has played a significant role in stabilizing the token. The platform’s daily repurchase program injects liquidity into the market, countering sell pressure from early participants. This strategy mirrors historical patterns observed in other cryptocurrencies such as Ethereum , XRP , and Solana, where prolonged bearish phases eventually gave way to sharp rebounds following the support level’s defense. Given the token’s 60% sell pressure from early participants and elevated open interest, a rapid descent is possible but unlikely to erase its long-term value [3].

The PUMP token’s current undervaluation and the potential for a “hated rally” offer a compelling risk/reward profile for investors with a high-risk tolerance. If the $0.0027 support level holds, the token could reclaim the $0.0030–$0.0032 resistance range, opening the path to a potential 30–50% move to $0.00355–$0.0042. However, a breakdown below $0.0027 would limit downside risk to $0.00232, a level that has historically acted as a floor. On-chain buybacks have created a stabilizing effect, similar to Solana’s staking ETF, which provided a structural tailwind for institutional capital [3].

Source:

[1] Pump.fun Purchased 10M Worth of PUMP Last Week

[2] Pumpfun has repurchased over $58 million PUMP

[3] The PUMP Token's “Hated Rally”: How Bearish Sentiment (https://www.bitget.com/news/detail/12560604933097)

[4] PUMP faces double-bottom test: Relief rally only above