PUMP, that cryptocurrency many had on their radar, has dropped 14.42% in just 24 hours, and it’s not a coincidence! It seems that a combination of broken promises, legal dramas, and massive exits of giant investors are shaking its foundations.

What is exactly happening? Here we break it down for you to understand the reasons behind this collapse:

  1. Goodbye, Airdrop in sight! 💥
    Imagine you are waiting for a package and suddenly you are told it won't arrive soon. That's exactly what happened to those waiting for a airdrop of PUMP. Co-founder Alon Cohen dropped the bomb on July 24: the airdrop "will not happen in the near future". This was like pouring gasoline on the fire, causing an instant liquidation of 12% while the traders with leverage ran for cover. 🏃‍♂️💨 Panic seized the market!

  2. Million-dollar lawsuit in sight! 🏛️
    As if that weren't enough, the firm Burwick Law filed a class action lawsuit for $5.5 billion on the same day, July 24. What’s the accusation? That Pump.fun is operating an "illegal gambling business". 🤯 This places enormous legal pressure and generates significant distrust in the platform.

  3. The "heavyweights" ran away 🐳
    Here comes the interesting part: two investment funds (known as "whales" in the crypto world) with hidden identities sold 25.5 billion PUMP tokens, which translates to ¡141 million dollars! 🤑 These massive sales occurred from July 22 at prices even below the ICO. This shows that large investors are exiting, and that is always a warning sign.

The technical outlook doesn't help much:
The RSI (Relative Strength Index) of PUMP is at 13.66, which is a deeply oversold level, the lowest since its launch on July 12! 📉 Moreover, the price broke a key support level of $0.0038, and the trading volume is spiking at $632 million in 24 hours, indicating massive capitulation of investors.

In summary, the fall of PUMP is a perfect storm: unfulfilled promises about token distribution, a gigantic legal lawsuit, and the stampede of early and large investors. With more than 60% of the circulating tokens in the hands of only 20 wallets, can small investors withstand the blow or will PUMP continue to freefall without a protocol parachute?

Stay tuned for upcoming news because this story is just beginning!$PUMP