Pump.fun [$PUMP], the token of the Solana-based memecoin launchpad of the same name, breached its $0.006 support and was trading around $0.0055 at press time, down 7.2% on the daily charts. The token touched an intraday low of $0.0052 during the session, while trading volume fell 20% to $427 million, reflecting a slowdown in market activity.

Long Liquidations Exceed $5 Million

The price drop pushed many bulls out of the market. CoinGlass data showed that $5.09 million worth of long positions were liquidated — a process in which exchanges forcibly close leveraged positions when price moves erode the collateral backing them.

Higher long liquidations typically add selling pressure to an already falling market, driving further price declines and potentially triggering a cascade of forced closures. Increased liquidation risk can also shift sentiment, prompting traders to panic-close their positions — a pattern widely observed across $PUMP markets over the past 24 hours.

Futures flows confirmed the retreat. $PUMP's futures recorded $445 million in outflows against $418 million in inflows, and Futures Netflow dropped 98% to -$27 million. The negative netflow indicates that more capital left the futures market than entered it, potentially reflecting traders closing positions to cash out or avoid further losses.

Spot Sellers Step Up

Selling pressure was even more intense on the spot side. According to Coinalyze data, the altcoin recorded 11.4 billion in spot sell volume compared with 10.8 billion in buy volume. As a result, the Buy Sell Delta fell to 600 million, underscoring the strength of spot selling.

Exchange activity corroborated the trend over a 12-hour timeframe. During that window, $PUMP saw $11.47 million in spot inflows against $9.8 million in outflows, and Spot Netflow rose 148% to $1.6 million — a significant reversal from the previous day. Spot netflow tracks the net movement of tokens onto and off of exchanges, so a rising figure points to more supply positioned on venues where it can be sold. The elevated inflows point to exchange activity tied to the selling. Historically, intense selling pressure has preceded further market weakness, leading to lower prices.

Technical Indicators Point to a Strengthening Downtrend

Structurally, $PUMP has been weakened by sustained market pressure. The MACD, a trend-following momentum indicator, formed a bearish crossover and dropped to 0.00005 as of writing, confirming increasing selling pressure and strengthening downside momentum as buyers lost control. The Stochastic Momentum Index (SMI), a momentum oscillator, fell to 22, reinforcing the bearish outlook. Both readings indicate that sellers have taken control of daily price action.

The indicators point to a strengthening downtrend and potential continuation. If the bearish pressure on the daily charts persists, $PUMP could slip below $0.005 toward $0.0046, according to the technical setup. However, if reduced leverage eases market volatility, the altcoin could hold above $0.005 and potentially reclaim the $0.006 level. Beyond those price levels, a return toward positive futures netflow and a narrower gap between spot sells and buys would mark a shift from the day's selling pattern.

Summary

Pump.fun declined about 7%, breached the $0.006 support and fell to a low of $0.0052 amid intense selling pressure. The price drop triggered more than $5 million in liquidations on the long side, while negative futures netflow and elevated spot sell volume highlighted the breadth of the pullback.

Source: CryptoNewsNet