Lately, a lot of you guys have been asking whether PUMP is worth buying the dip on. Today, let’s take a deep dive into this coin.
First, the fundamentals.
PUMP is the token of the Pump.fun platform—the hottest meme coin launchpad on Solana. Of all the meme coins you see on Solana, about 8 out of 10 were launched on Pump.fun.
How profitable is the platform?
It generated $55.5 million in protocol revenue over the past 30 days. What does that mean?
Hyperliquid—the perpetual futures DEX that’s been getting a lot of buzz lately—made just $54.34 million. Pump.fun beat it outright.
Across the entire DEX sector, its revenue now ranks third, behind only Tether and Circle.
It earns $1.85 million a day. That’s more than many publicly traded companies.
So where does all that money go?
It spends $1 million a day buying back and burning PUMP.
Over the past month, it’s already burned an amount equivalent to 36% of the circulating supply.
Sounds impressive, right? But here’s the problem—
Why is the price still falling?
Because the unlocks are even bigger.
$7.6 million worth of tokens unlock every day, and they belong to early investors and the team, whose cost basis is extremely low. They’re not holding back when they sell.
$1 million burned, $7.6 million unlocked—that’s $6.6 million in net selling pressure every day. How do you expect the price to rise?
Let’s do the valuation math.
The current circulating market cap is $2.2 billion, while the fully diluted valuation (FDV) is $5.5 billion.
In other words, more than half the tokens are still yet to enter circulation. They’re a sword of Damocles hanging over the price.
When will all the tokens be unlocked? Probably sometime after 2027.
My take:
In the short term, selling pressure is too high. There’s daily sell pressure from token unlocks, so it’ll be hard for the price to establish a sustained uptrend.
In the long term, if Pump.fun can maintain its current profitability, this token could still have potential once the unlock period ends in 2027.
But you guys need to understand that, at its core, this is still a token for a meme coin platform—not a blockchain like Ethereum.
If the meme coin hype dies down, Pump.fun’s revenue will fall too.
It’s not a value investment. It’s a cyclical stock.
At this price, I think it’s fine to take a small position and have some fun, but don’t treat it like Bitcoin and hold it for ten years.
What do you think of PUMP?
$BTC $ETH #PUMP #SolanaEcosystem
First, the fundamentals.
PUMP is the token of the Pump.fun platform—the hottest meme coin launchpad on Solana. Of all the meme coins you see on Solana, about 8 out of 10 were launched on Pump.fun.
How profitable is the platform?
It generated $55.5 million in protocol revenue over the past 30 days. What does that mean?
Hyperliquid—the perpetual futures DEX that’s been getting a lot of buzz lately—made just $54.34 million. Pump.fun beat it outright.
Across the entire DEX sector, its revenue now ranks third, behind only Tether and Circle.
It earns $1.85 million a day. That’s more than many publicly traded companies.
So where does all that money go?
It spends $1 million a day buying back and burning PUMP.
Over the past month, it’s already burned an amount equivalent to 36% of the circulating supply.
Sounds impressive, right? But here’s the problem—
Why is the price still falling?
Because the unlocks are even bigger.
$7.6 million worth of tokens unlock every day, and they belong to early investors and the team, whose cost basis is extremely low. They’re not holding back when they sell.
$1 million burned, $7.6 million unlocked—that’s $6.6 million in net selling pressure every day. How do you expect the price to rise?
Let’s do the valuation math.
The current circulating market cap is $2.2 billion, while the fully diluted valuation (FDV) is $5.5 billion.
In other words, more than half the tokens are still yet to enter circulation. They’re a sword of Damocles hanging over the price.
When will all the tokens be unlocked? Probably sometime after 2027.
My take:
In the short term, selling pressure is too high. There’s daily sell pressure from token unlocks, so it’ll be hard for the price to establish a sustained uptrend.
In the long term, if Pump.fun can maintain its current profitability, this token could still have potential once the unlock period ends in 2027.
But you guys need to understand that, at its core, this is still a token for a meme coin platform—not a blockchain like Ethereum.
If the meme coin hype dies down, Pump.fun’s revenue will fall too.
It’s not a value investment. It’s a cyclical stock.
At this price, I think it’s fine to take a small position and have some fun, but don’t treat it like Bitcoin and hold it for ten years.
What do you think of PUMP?
$BTC $ETH #PUMP #SolanaEcosystem