The buybacks on Pump.fun failed to help the pump price rise amid whale sell-offs.

PumpFun's PUMP Token has dropped nearly 35% in value over the past month, lagging far behind the overall crypto market.

The price drop occurred even while the platform was still running its Token buyback program. This raises questions about the effectiveness of the revenue-based support mechanism when whales continue to sell off and the overall market is trending downwards.

Demand from the buyback program was not strong enough amidst the widespread sell-off.

Pump.fun launched a buyback program for its native PUMP Token in July 2025, shortly after Token launch . Under this mechanism, the platform uses 100% of its revenue to buy back PUMP, creating strong and continuous buying pressure every day.

Since its inception, the total value of these buybacks has reached approximately $218.1 million. The network has spent $32.7 million on Token buybacks in the last 30 days alone.

In theory, Token buybacks are generally considered a positive signal because they reduce the circulating supply and support sustainable demand.

However, this aggressive revenue-driven strategy was not enough to offset the negative impact from the overall market downturn. Since the beginning of October, the crypto market has been continuously struggling.

The total crypto market Capital has fallen by nearly 30%, with major coins like Bitcoin (BTC) and Ethereum (ETH) experiencing significant declines.

PUMP has not been immune to this trend either. The Token has lost approximately 35% of its value in the past 30 days.

“PumpFun is using 100% of its revenue to buy back PUMP, creating nearly $1 million in buying pressure daily. Even so, the Token is still down more than 80% from its peak and is currently about 30% lower than its previous Dip (before the buyback). This shows that buybacks, no matter how aggressive, only have limited impact when the market is down, especially when the Token lacks practical applications or has a limited Vai ,” according to an analyst's post .

The downward trend continued to escalate today, with the altcoin falling another 6.9%. At the time of writing, it was trading around $0.0017, a price not seen since the market-wide sell-off in October.

PUMP's difficulties are exacerbated by profit-taking moves from whales. Recently, a whale deposited 3.8 billion PUMP into FalconX , worth approximately $7.57 million, after holding it for 3 months. This individual then withdrew the Token from Binance worth $19.53 million, resulting in an unrealized loss of $12.22 million.

Data from Nansen shows that, in the last 30 days, the number of Token held by large investors (wallets owning more than 1 million PUMP) has decreased by 13.07%. The mass selling by large investors at significant losses is often a sign of declining confidence in the Token .

Overall, the PUMP price movement shows the limitations of even the most aggressive buyback programs when the market is struggling. As long as selling pressure from large investors remains high and risk aversion persists, buybacks alone will struggle to maintain long-term Token price stability.