PUMP, the token from Pump.fun, has plummeted over 63% since its ICO, prompting investors to seek answers as to the reasons behind its decline. Following a $600 million ICO, expectations of a token airdrop fueled speculation, but co-founder Alon Cohen's announcement that no immediate airdrop would occur triggered significant sell-offs. This disappointment, coupled with a $5.5 billion class-action lawsuit, exacerbated the downturn. Despite generating substantial revenue, user engagement and interest have wavered, with Pump.fun losing users to competitors like LetsBonk. Currently, PUMP trades around $0.0024, showing a bearish trend as technical indicators suggest sustained selling pressure with no signs of recovery. The Relative Strength Index and other metrics illustrate a strong downtrend, with near-term expectations remaining bleak. Traders note critical price levels, identifying immediate support at $0.00239 and potential resistance at $0.0028, indicating a challenging environment for PUMP investors. Overall, factors including market sentiment, failed promises, and legal challenges contribute to PUMP's continued decline, raising questions about its future prospects.

Source 🔗