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Why did the price of Pump.fun(PUMP) increase? Technical analysis and interpretation!

2026-08-11 00:39:24
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Pump.fun ecosystem native token PUMP is distinguished from other memecoins by its strong revenue model. As one of the largest token launch platforms in the Solana ecosystem, Pump.fun generates revenue directly from high transaction volume. The platform's recent annualized revenue is approximately US$349 million, indicating that there is real economic activity behind the token that is not based solely on speculation.

The most important fundamental factor in PUMP is the pegging of revenue to the token economy. Pump.fun uses 50% of the agreement revenue to buy back $PUMP from the market and destroy it permanently. According to official data, more than US$414 million of PUMP has been purchased and destroyed so far, accounting for about 15% of the total supply, and has been withdrawn from circulation. This mechanism constitutes an important structure that can reduce pressure on the supply of tokens as the platform grows.

PUMP/USDT daily chart.

$PUMP broke through the important resistance level of US$0.0024 and completed a weekly close above this area, giving us one of the strongest confirmations. For PUMP that has achieved market breakthroughs, we can expect the US$0.0024 region to serve as support. As long as it does not fall below this level, there will be no problems. I think as long as the closing price does not fall below $0.001770, the upward structure will be maintained. After that, our next target area is $0.0035. We can expect the rally to continue into the region. If there is a rise to gain liquidity in the $0.0035 area, I think that area is suitable for profit-taking.

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