Pump.Fun Price News: Padre App Acquisition Lifts PUMP – Major Breakout Brewing?

Pump.fun (PUMP), the leading meme coin launchpad in the Solana ecosystem, has seen the price of its native token jump by 4.5% to $0.0040 after announcing the acquisition of a trading terminal for meme coins called Padre App.

Pump.fun Official X Account – Source: X.com

In a tweet published earlier today, the protocol confirmed the transaction and emphasized that the app “is an industry leading trading terminal which provides a seamless, high-speed trading experience with next level analytics for professional traders.”

According to its website, Padre App has processed over $500 million in trading volumes since its launch and is used by more than 35,000 wallets.

This seems like another strategic move for Pump.fun to further strengthen its ecosystem, by providing users with a top-notch trading tool that is purpose-built for meme coins.

In regard to the acquisition, Alon Cohen, the co-founder of Pump.fun, commented: “Starting today, we will be dedicating significant resources and attention to making Padre the #1 pro trading terminal in the space by giving users the most advanced, performant, and rewarding product.

Pump.fun Burned 9% of PUMP’s Circulating Supply in 3 Months

In the past 7 days, PUMP has jumped by nearly 15% as the crypto market has progressively recovered from the blow it received on October 10 after Trump’s 100% tariff increase on Chinese imported goods.

Trading volumes remain quite high at $270 million, accounting for 20% of the token’s circulating supply.

Since Pump.fun launched its token, its ongoing token burn program has taken out 9.4% of the asset’s circulating supply. This could lead to a supply shock, and the market does not seem to be aware of that.

Pump.fun Token Burn Stats – Source: Pump.fun’s Official Website

In just three months, they have burned $150 million worth of PUMP, or around $50 million per month. A year from now, this could have a huge impact on the price dynamics of this token, considering that PUMP’s market cap at the time of writing is just $1.4 billion.

Pump.fun continues to be the undisputed leader of the launchpad market in Solana, with a 62.7% market share according to Jupiter AG. In the past 30 days, the platform processed nearly $10 billion in trading volumes while its closest competitor, LetsBonk, only processed $2.3 billion.

PUMP Could Deliver a 71% Gain If It Rises Past Its Trend Line Resistances

Looking at the 4-hour chart, PUMP has reached a critical juncture as it has hit two trend line resistances. If the token rises above the $0.0045 level, the implications for its mid-term outlook could be huge.

PUMP/USD 4-Hour Chart (Coinbase) – Source: TradingView

The market had respected these trend line resistances for a while. A bullish breakout would mean that buyers are back at it and are willing to scoop up PUMP at a higher price. Strategic acquisitions like Padre App emphasize the project’s long-term vision.

In this lower time frame, the 200-period exponential moving average (EMA) is also a key resistance to watch. The Relative Strength Index (RSI) has sent a buy signal upon rising past the mid-line and breaking above the 14-day moving average.

We could envision a full-blown trip to the $0.0070 if these trend line resistances are blown up during the weekend, meaning a 71% upside potential from where the token is right now.

This would be the result of a major short squeeze and could be triggered by an improvement in market sentiment following a positive inflation report today.