Reviewed by Reviewed by Jacob Thomas Updated 11:00 EDT October 3, 2026 Share Share Share Back to Top Following a weak jobs report, the broader crypto market was hit hard as investors rushed to reduce exposure. Amid this shift in sentiment, Pump.fun’s [PUMP] downside pressure intensified
As a result, PUMP faced rejection at $0.0061 and fell to $0.0054 at press time. Over the same timeframe, the altcoin’s trading volume climbed 55% to $605 million, indicating higher sell-side activity
The price drop left longs bleeding. According to Lookonchain, two major traders were liquidated. These traders had opened a long position on 707.6 million PUMP worth $3.61 million
The liquidation wave extended beyond just two major traders. According to CoinGlass data, PUMP saw over $8.3 million in longs liquidated, compared to $0.7 million in shorts
Often, prolonged squeezes strengthen downside momentum, leading to even more losses on the charts
Amid this rising liquidation risk, traders panicked and rushed to close their positions. The altcoin Futures saw $385 million in outflows compared to $374 million in inflows
As a result, the Futures Netflow declined by 237% to -$10.7 million, a clear sign of aggressive selling
Historically, intense selling pressure combined with higher liquidation risks has weakened the market structure, leading to further declines
Interestingly, despite the price drop and intense pressure from the derivatives market, spot traders have held steady
On this side, buyers have turned stubborn, and the drop seems to have encouraged them to buy some more. Coinalyze data showed that Spot Buy Volume has outpaced Spot Sell Volume for three consecutive days
On the 2nd of October, as the market dropped, Buy Volume rose to 25.5 billion compared to 24.6 billion in Sell Volume
With buyers holding here, they could likely absorb the pressure and help the market recover from the slip
Structurally, the market still leans bullish. In fact, PUMP has been making higher lows while respecting the rising support
Despite the pullback, the structure is yet to break down. At the time of writing, the MACD was on an upward trajectory
The same case applies to the Relative Strength Index (RSI), which was deep in the bullish zone around 62
Taken together, the MACD and RSI suggest buyers are still in control of the market. If the spot-buying pressure holds, it could absorb downside pressure and help PUMP reclaim $0.006
However, if sellers in the derivatives market continue at the current pace, PUMP will struggle to hold $0.005 and is likely to drop to $0.0046
Gladys Makena is a Cryptocurrency and Financial Analyst at AMBCrypto with four years of market analysis experience. Her quantitative expertise is supported by a strong background in Finance, providing a solid foundation for a data-driven approach. At AMBCrypto, Gladys is committed to providing the community with timely and insightful news, reports and technical analysis
