Pump.fun’s Struggles: A Closer Look
The world of cryptocurrency and decentralized finance (DeFi) is always changing. Recently, a platform called Pump.fun has been having some big problems. In February, the amount of trading on Pump.fun went down by 63%. This is part of a bigger trend where people are less interested in crypto and less confident about investing in it.
The Drop in Activity
Pump.fun is a popular place to create new tokens on the Solana network. But lately, fewer new tokens are being launched there. In February, the number of new tokens launched in two weeks went down by 51.1%, from 54,368 to 26,584[2]. This shows that people are less excited about crypto right now.
What About Token Migration?
Most of the new tokens launched on Pump.fun don’t move on to another platform called Raydium, a decentralized exchange. This is the lowest migration rate since May 2024[2]. This means that not many people trust Pump.fun to help their tokens after they’re launched.
Money Problems
Just recently, Pump.fun’s income went down by 93% from the month before, as of February 28, 2025[5]. This big drop in money was also when the price of Pump.fun’s token, PUMP, went down from $0.15 to $0.08 in just one day[5]. The number of PUMP tokens being traded also went down a lot, from an average of 10 million tokens a day to just 1.5 million on the day of the announcement[5].
What Does This Mean?
From a technical point of view, PUMP’s price chart shows that it’s having a hard time right now. The price is going down, and a tool called the Moving Average Convergence Divergence (MACD) shows that the trend is still going down[5]. Also, more PUMP tokens are being sent to exchanges, which means more people are selling them[5].
What’s Next for Traders and Investors?
The problems at Pump.fun mean that traders and investors might want to be careful. The price of PUMP is going down, and there might be more selling happening. But, some tools show that the price might be too low right now, which could be a good time to buy for people who like to take risks. But, the mood in the market is not good, and people are talking more negatively about Pump.fun on social media[5].
Can Pump.fun Bounce Back?
In the end, Pump.fun is having a hard time right now, like many other crypto platforms. It’s not easy to get people excited about crypto again. Pump.fun is trying new things to make more money, but it’s going to be hard to make people trust it again. The future of Pump.fun and other platforms like it depends on how well they can change and come up with new ideas in the competitive world of DeFi.
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Sources:
– KuCoin News
– Blockchain News