Pump.fun surges 16%, as demand rises backed by token buyback

Pump.fun defended the $0.003 support after dropping to $0.0025 and later reached a high of $0.0033.

PUMP traded at $0.003291 at press time, up 16.32% on the daily charts, supported by a 40% rise in trading volume.

Buyers kept control into December

Significantly, while most altcoins have seen lower capital inflows in recent weeks, demand for Pump.fun has remained steady. 

In fact, according to Coinalyze, buyers largely dominated the market over the past month, with 18 of 30 days showing buyer dominance. 

As such, so far in December, the altcoin recorded a positive Buy Sell Delta, a drastic shift from market dynamics, toward the end of November. 

Source: Coinalyze

On top of that, spot Buy Volume reached 20.18 billion over the past month compared with 17.86 billion in Sell Volume. That difference pushed the Buy Sell Delta to 2.32 billion, which signaled persistent accumulation in the Spot market.

Coupled with that, PUMP’s exchange holdings declined steadily over the past month. In fact, supply on exchanges has dipped from 38 billion to 33 billion in two weeks. 

Source: Blockworks

That five-billion reduction extended a broader decline since September, when exchange balances stood near 72 billion.

Even so, the steady reduction indicated that both retail and larger players withdrew tokens from exchanges and tightened the circulating supply. That move aligned with broader accumulation trends and helped reinforce the recent price recovery.

Team buybacks supported the rebound

Pump.fun’s resilience came partly from the team’s consistent token buybacks. Over the past day, the team spent $1.15 million on token buybacks, bringing the total paid to $195 million according to Blockworks. 

Source: Blockworks

In doing so, Pump.fun removed 45.5 billion tokens from circulation, further squeezing the supply available for immediate sale.

Such consistent buybacks created a clear deflationary squeeze and helped stabilize sentiment during volatile sessions.

What do momentum indicators show?

Demand improved as buybacks increased, which strengthened PUMP’s short-term momentum. The Stochastic Momentum Index rose from -2.2 to 39 after an oversold reading, which suggested rising buyer engagement.

Source: TradingView

By contrast, the Relative Vigor Index climbed to 0.165, which confirmed improving market strength. This left traders focused on whether buyers could maintain control through the next resistance cluster.

If accumulation continues, PUMP could retest $0.0037 and later target $0.004. However, a failed breakout or profit-taking might pull the token toward support near $0.0028.

Final Thoughts

• PUMP surged 16.32% after successfully defending $0.003 support, hitting a local high of $0.0033. 
• Pump.fun rallied as token buybacks reached 45.5 billion tokens worth $195 million, backed by strong demand from the spot market.