Solana's leading meme coin, Pump.fun, reclaimed its position, with the token displaying a bullish signal known as the golden cross.
In a recent turn of events, the memecoin launchpad Pump.fun has overtaken LetsBonk on Solana, marking a significant shift in the memecoin landscape. This change in dominance has been accompanied by a 15% price increase for the PUMP token, pushing its value to $1.3 billion – a high not seen this month.
Market Share and Token Launch Dominance
The shift in dominance can be attributed to Pump.fun's strong preference among token creators for its platform. In the past few days, Pump.fun has commanded about 87-91% of daily Solana token launches, compared to LetsBonk's 3-4% share.
Higher Transaction Volume and User Activity
Pump.fun's dominance is further underscored by its impressive transaction volume and user activity. During peak times, Pump.fun's daily trading volume has reached nearly $100 million, with over 548,000 transactions and more than 38,000 active users. This vastly exceeds LetsBonk's approximately 633 active users and much lower daily volume.
Revenue and Buyback Program
Pump.fun's financial strength is also evident in its daily revenue, which stands at $1.35 million, compared to LetsBonk’s $250,000. Additionally, Pump.fun launched a $33 million buyback program for PUMP tokens, reducing supply and boosting token value, which likely supported the 15% price increase.
Resilience and Recovery After Being Overtaken
Pump.fun's resilience and recovery after being briefly overtaken by LetsBonk in July is another key factor in its recent success. Pump.fun quickly regained its position by expanding token listings, securing higher transaction rates, and engaging more active users.
Higher Graduation Rate and Liquidity
While LetsBonk had a higher graduation rate (about 2.26%), Pump.fun’s large volume and liquidity with a 0.74-0.84% graduation rate helped sustain market confidence.
Impact on Futures Volumes
The increased market confidence, higher token transactions, and PUMP token buyback program have driven up futures trading volumes significantly. Traders anticipate continued price momentum and platform growth, leading to a spike in futures volumes on PUMP tokens.
In conclusion, Pump.fun’s overtaking of LetsBonk's dominance was driven by overwhelming token launch dominance, superior user activity and transaction volumes, strategic buyback programs enhancing tokenomics, and its quick rebound from an earlier setback, all contributing to a 15% price rise and boosted futures volumes on PUMP tokens.
Potential Price Movement
Looking ahead, a break below $0.00033 could shift focus to $0.0030 for PUMP coin price. However, consolidation above short-term support is likely before the next leg higher for PUMP coin price.
Additional Momentum
The recent success of Pump.fun has also been bolstered by the announcement of the Glass Full Foundation, a liquidity injection initiative, last week, adding further momentum to the platform.
[1] CoinMarketCap [2] Dune Analytics [3] Solana Labs [4] CoinGecko [5] Messari
Read also:
- Trade Disputes Escalate: Trump Imposes Tariffs, India Retaliates; threatened boycott ranges from McDonald's, Coca-Cola to iPhones
- Disruptions looming in global chocolate production as Turkey's hazelnut crops face winter perils
- Finance Management Organization (FMO) secures €130 million syndicated loan for QNB Leasing in Turkey
- "Dismissed USAID Employees Allegedly Swindle Taxpayers - Prosecution Necessary!"
