Opening blow: Pump.fun launched its coin, and the market exploded! 🔥
"$4 billion valuation? Isn't this an on-chain casino?!" When Pump.fun announced its native token PUMP raised $600 million at a $4 billion valuation, the entire crypto community split into two factions—one shouting "bubble frenzy" and the other quietly clicking "buy."#山寨季何时到来？
This coin launch drama fermented from June to July 12, when it officially held its TGE (Token Generation Event), selling out $500 million in 12 minutes, significantly slapping the pessimists in the face.#迷因币情绪
After launch, PUMP price steadily increased, and more aggressively, the project team directly used $19.2 million in fees to repurchase tokens, causing the price to spike 30% instantly!
But on-chain data shows: a certain whale has cashed out $3.41 million in profits and exited. This operation seems like the magical reality of "dad pulling out his wallet to pump, while the son secretly offloads" 🤣.
🎭 Market reaction is polarized
Supporters: Believe Pump.fun is the infrastructure of the MEME track, with a reasonable valuation
Skeptics: Point out its revenue relies on a single track, and the valuation bubble is obvious
Speculators: Regardless of valuation, only watch short-term price fluctuations
This divergence precisely reflects the typical characteristics of the current crypto market—narrative-driven > fundamentals-driven.
The myth of Pump.fun's "money printer": from MEME factory to $4 billion valuation 🌪️
First, let's educate the newcomers: Pump.fun is a MEME token launch platform in the Solana ecosystem, characterized by:
Building a coin for $3: the threshold is ridiculously low, even monkeys can issue coins
No presale/private placement: full intelligent contract pricing, fair launch
Automatic coin listing: Direct entry into DEX liquidity pool upon reaching a market cap of $69,000
📊 Core data comparison
But MEME can bring both fortune and disaster
Now the market has cooled, Pump.fun's token creation volume has been halved, and the graduation rate has plummeted to below 1% (it was 1.6% last year). Even worse, the competitor letsbonk.fun has directly snatched away the top market share, putting Pump.fun's "casino overlord" status in jeopardy.
Valuation controversy: $4 billion? Is this robbery or market rescue? 💥
Before Pump.fun launched its coin, the market was full of pessimism:
1. Comparing to Circle:
Circle: Stablecoin infrastructure, $7 billion valuation
Pump.fun: MEME launch platform, $4 billion valuation
Difference: Circle has compliance licenses, while Pump.fun relies on regulatory arbitrage
2. Liquidity depletion
Daily trading volume dropped from 5.44 million to 700,000 (a decrease of 87%)
Token creation volume dropped from 70,000 to 30,000 (a decrease of 57%)
Impact: Platform's ability to extract fees decreased by 50%+
3. Token distribution controversy:
Institutions take away 33% + 18% = 51%
The community only gets 24% + 2.4% = 26.4%
Essence: Wealth distribution is severely skewed
But the market votes with its feet—
$500 million public offering sold out in 12 minutes!
Exchanges like Kraken, Bitget are participating wildly
Small users (at $1,000) account for 57%, while there are 202 whales (> $1 million)
Institutions say no, but their bodies are very honest 😏.
Repurchase $19.2 million: self-rescue or performance? 🛒
After the coin launch, Pump.fun immediately initiated a repurchase:
Scale: 187,777 SOL (approximately $19.2 million)
Average price: $0.006
Proportion: Circulating volume 3%+
Funding source: Fee income (111,953 SOL consumed in the past 7 hours)
Market impact
On-chain analyst views
"This is typical exchange market protection behavior"
"The repurchase volume only accounts for 3% of the circulating volume, with limited impact"
"Long-term still needs fundamental support"
But retail investors don’t care about this—addresses holding for two days skyrocketed 3 times! Accounts with less than 10,000 PUMP are the most numerous, and retail enthusiasm has been completely ignited.
Analyst Stacy Muur joked: "The hatred on CT (Crypto Twitter) has instead become a contrary indicator; it might still be worth entering now."
Current status of the MEME track: the strong get stronger, the weak exit 📉
The madness of Pump.fun is just a microcosm. Now the MEME market is polarized:
Winners take all: Quality projects (like DOGE, SHIB) rebound with the overall market warming up.
Losers exit: 90% of MEME coins face liquidity depletion, with no one paying attention.
Positive news at the macro level:
Return of Ethereum narratives: Blue-chip altcoins like ENS surge.
Interest rate cut expectations: Funds may flow back into the crypto market.
But can MEME replicate the madness of 2024? Difficult! Unless another "Trump MEME coin" level hit emerges 🤪.
🎯 Ultimate question: PUMP token, is it too late to hop on now?
Short-term strategy
Monitor repurchase strength (daily SOL consumption)
Monitor changes in exchange holdings
Beware of whale sell pressure
Long-term risks
Track risks: Declining popularity of MEME
Competition risk: New platforms emerge to siphon users
Regulatory risk: Increased compliance pressure
🚨 Final reminder:
MEME coins are highly volatile, do not blindly chase highs! Unless you are mentally prepared for "profit brings smiles, loss brings scolding" 😎.
🔥 Additional data
Competitor analysis
letsbonk.fun: 35% market share
Pump.fun: 28% market share
Others: 37%
User profile
Whale users: 0.1% share, holding 30% of tokens
Retail users: 99.9% share, holding 70% of tokens
Future plans
Launch more derivatives
Expand to the Ethereum ecosystem
Strengthen compliance efforts
✍️ DYOR, manage risk well, and may everyone set sail in the crypto space! 🌊
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