- •PUMP’s price is poised for a potential rally, with buybacks and an HTX listing providing solid support.
- •A breakout above $0.00655 could open the door to further gains, targeting $0.00743 and $0.008.
- •Pump.fun’s revenue growth powers ongoing buybacks, bolstering PUMP price action and creating upward momentum.
PUMP's price is on the brink of a major breakout, with analysts forecasting a potential rally toward $0.008. This positive price action is supported by two key factors: its recent listing on the HTX exchange and an ongoing aggressive buyback program funded by revenue from the Pump.fun platform.
PUMP faces strong resistance around $0.00655, a crucial level marked by the 0.382 Fibonacci retracement, the 20-period Simple Moving Average (SMA), and previous price highs. These levels have created a formidable barrier that PUMP must overcome to maintain upward momentum. If the price manages to break through this resistance zone, it could target the next key levels at $0.00743 and $0.00811, with the latter aligning with mid-September highs.
Ongoing Buybacks Bolstering Price Action
Since mid-July, Pump.fun has been conducting daily token buybacks, using revenue generated from its platform to repurchase PUMP tokens. This consistent buyback activity has provided much-needed support for the token’s price, as demonstrated by the latest buyback on September 21, where 8,302.6 SOL was used to repurchase 278.5 million PUMP tokens. These buybacks play a critical role in maintaining upward pressure on PUMP’s price, especially as the platform continues to dominate the Solana-based memecoin market.
In addition to the ongoing buybacks, Pump.fun has seen a significant rise in revenue, with the platform generating $9.65 million during the week ending in late September. This marked another milestone as the platform led Solana-based decentralized applications for the eighth consecutive week. With increased revenue, Pump.fun is in a strong position to continue fueling the buyback program, providing additional upside potential for PUMP price action.
Chart Breakout Potential After Multi-Week Downtrend
After breaking free from a multi-week downtrend, marked by a descending trendline that had restricted PUMP’s price since mid-September, the token now faces a critical moment. The recent HTX exchange listing has provided additional momentum, and if the price successfully breaches the $0.00655 resistance, it could set the stage for further gains, with the $0.00743 and $0.008 targets in sight.