The unlocking of PUMP tokens has triggered internal supply pressure of US$127 million, putting Pump.

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PUMP token unlocking becomes a key event for Pump.fun in the near future

As the project is about to usher in a planned internal token release, PUMP token unlocking is becoming an important event for Pump.fun in the near future. This unlocking may affect market sentiment. The upcoming unlock window is expected to provide a clearer picture of how the market will react when a large number of previously locked tokens are available for trading.

On July 12, tokens worth US$127 million (29.23% of the circulating supply) were planned to be unlocked. The event did not prejudge the direction of the market, but was intended to test whether existing demand was strong enough to absorb additional supply without triggering continued selling pressure.

What does PUMP token unlocking reveal about project token supply?

PUMP token unlocking is part of Pump.fun\'s long-term unlocking program, under which internal placements will be released on a predetermined date. Tokenomist identifies the upcoming release as a placement to existing investors, while its weekly unlock summary states that the tokens are related to the team and early investors.

Pump token unlocking has put US$127 million in internal supply pressure on Pump.fun3

The project uses a cliff unlocking model for most placements rather than gradually releasing tokens. This means that large quantities of supplies will enter circulation at once on scheduled dates, rather than being evenly distributed over time. Tokenomist also pointed out that approximately 402.96 billion PUMPs have been unlocked, accounting for 40.30% of the total supply of 1 trillion PUMPs. The remaining supply will continue to be unlocked until 2029 according to the project plan.

Why is the July 12 unlocking so closely watched?

The planned release has attracted much attention because of its size relative to the token\'s recent trading activity. Market data on July 8 showed that PUMP was trading at approximately US$0.00155, with 24-hour trading volume ranging from approximately US$64 million to 70 million. Using this data as a reference, the unlocking volume of US$127 million is equivalent to 1.8 to 2 times the recent daily trading volume of the token.

PUMP is currently trading at approximately US$0.001520, with a market value of US$615.86 million. The token has dropped 1.4% in the past 24 hours, but has still gained 1.57% in the past week. Its unlocked market value is currently US$1.02 billion (based on current prices and unlocked supply), while 24-hour trading volume is approximately US$48.11 million, a decrease of 31.52%.

Judging from the latest trading activity, this unlock accounts for an even larger multiple of the daily trading volume, but the actual number of tokens sold is still the decisive factor. Unlocking itself does not guarantee an immediate sell-off, it just makes these tokens available, and the market impact will depend on how the recipient manages its position.

How do internal activities affect liquidity?

The market reaction will largely depend on what happens after the unlocked token is available. If the recipient continues to hold its placement, existing demand may be able to absorb additional supply with limited impact. If a significant portion of the allotment is sold, buyers will have to absorb the supply without requiring a significant price reduction.

This is why traders described the incident as an \"exit from a liquidity test.\" Cliff unlocking concentrates supply within one window, allowing the market to assess whether demand will still be deep enough when internally held tokens become tradable.

Tokenomist lists initial token offerings accounting for 33% of placements, community and ecosystem plans for 24%, teams for 20%, existing investors for 13%, live streaming for 3%, liquidity and exchanges for 2.6%, ecosystem funds for 2.4%, and foundations for 2%. As a considerable part of future supply will still be locked in, future unlocking events are expected to continue to attract attention.

Can past demand and buybacks offset additional supply?

Pump.fun has shown significant retail demand during its token sales. In July 2025, the platform sold 150 billion PUMP tokens to retail investors, raising $600 million in 12 minutes, bringing the total token sales to $1.32 billion. That financing reflected primary market demand.

The unlock of PUMP tokens this time is to measure whether the secondary market has the ability to absorb internally held supply when the price of contemporary coins is much lower than the previous level after the transaction matures. Tokenomist also pointed out that Pump.fun continues to generate revenue and has conducted token repurchases.

Earlier repurchase data showed that as of January 6, the project had spent US$233 million to repurchase 62.2 billion PUMPs. Even so, repurchase alone is not enough to offset the dilution effect. The effectiveness depends on whether the demand generated by these repurchase programs is large enough to absorb newly unlocked supply into the market.

What should traders pay attention to after unlocking?

Trading activity after July 12 is expected to provide the clearest indication of the market\'s ability to absorb this release. Positive results will include enhanced trading volume and relatively stable prices, limited signs of token flow into exchanges, and visible demand supported by repurchase activity.

The unlocking of PUMP tokens has placed US$127 million in internal supply pressure on Pump.fun4

The weaker results involve huge trading volume and continued price deterioration, indicating that liquidity is mainly used for allocation rather than accumulation. Short-term fluctuations near the cliff unlock date do not necessarily indicate that the underlying business has weakened, but rather reflect the efficiency with which the market handles concentrated increases in available supply.

The broader context also remains relevant. Tokenomist had previously described June as a defensive period, when Bitcoin traded below $60,000 and the flow of spot Bitcoin ETFs posed headwinds. It also points out that investors have become more picky and prefer projects that are more revenue-generating and clearer value accumulation models.

Conclusion

PUMP token unlocking remains one of the most important recent events for the project as it transforms a planned unlock date into a measurable liquidity test. The scale of the release and the project\'s cliff-unlocking structure mean market participants will be closely watching price movements and trading activity after July 12.

Whether the recipient holds its allotment or decides to sell will determine how smoothly the market absorbs additional supply. The results will provide a clearer indication of the depth of liquidity of the token, investor confidence, and whether existing demand is sufficient to handle one of Pump.fun\'s largest planned internal releases.