Pump.fun's PUMP token has seen a steep decline of over 63% since its initial coin offering, which raised $600 million. Despite a robust market where major cryptocurrencies remain buoyant, PUMP's performance has faltered drastically. The drop followed the co-founder’s announcement that an expected token airdrop will not occur, escalating investor panic. Alongside this, a $5.5 billion class-action lawsuit has emerged, alleging unlawful operations. Many early investors are selling their holdings, exacerbating the downtrend. Current market activities show a 70% reduction in daily users and declining revenue figures for Pump.fun. Technically, indicators like the Relative Strength Index signal extreme selling conditions, while the Average Directional Index confirms a strong downward trend. Overall, PUMP is viewed as a poor investment currently, with any potential recovery requiring breaking key resistance levels above current trading values.

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