Pump.fun's PUMP token has seen a drastic decline of over 63% since its ICO, currently trading at $0.0024. Despite a booming crypto market, PUMP has struggled, with its value plummeting from a $4 billion fully diluted valuation post-ICO to a market cap of $879 million. Investor dissatisfaction intensified after co-founder Alon Cohen announced that a promised airdrop was not imminent, causing panic selling. This sell-off has increased due to a $5.5 billion lawsuit against Pump.fun for allegedly operating an unlicensed casino scheme. Technical analysis indicates strong downward momentum, with every indicator suggesting selling pressure is likely to continue. The Relative Strength Index shows oversold conditions at 28 points, and PUMP's steep downtrend is underscored by the Average Directional Index reading 41. Furthermore, the token's fundamentals are weakening, with a 70% drop in daily active users and declining revenues. Traders are now looking for resistance levels to gauge potential rebound points, though the outlook appears increasingly bleak for PUMP holders.

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