PUMP token has rallied over 70% in the past week, reaching $0.0083 as of September 16, despite significant selling pressure from whales and smart money investors. The token now sits just 5.4% below its all-time high of $0.0088, representing a 260% increase from its July lows.
Data from Nansen reveals that whale wallets have reduced their holdings by 25% over the past seven days, now holding 19.39 billion tokens. Simultaneously, Smart Money wallets decreased their positions by 48%, and public figures' wallets saw a 9% reduction. This selling pressure, totaling approximately $55 million in recent offloading, briefly caused a 5% price dip but has failed to derail the overall rally.
The primary driver behind PUMP's resilience appears to be Pump.fun's aggressive buyback program, initiated in early July. The project has purchased nearly $95 million worth of PUMP tokens from the open market, reducing circulating supply and creating scarcity amid sustained demand.
Additional bullish factors include the introduction of a creator revenue-sharing program that allocates 50% of PumpSwap DEX revenue to platform builders. The platform paid out over $4 million to creators in a single week, with most going to first-time creators. Other positive developments include PUMP's listing on Binance and its mobile app nearing top 100 ranks.
Technical analysis shows PUMP trading within an ascending parallel channel pattern on the 4-hour chart, with the 50-day SMA above the 200-day SMA (a golden cross) and MACD lines forming a positive crossover. These indicators suggest continued upward momentum, with a potential 20% upside target at $0.01 if the pattern holds. Key support levels sit at $0.007, $0.0065, and $0.00621, with only a break below $0.00575 invalidating the bullish setup.