Pump.fun (PUMP) Falls After Large Wallet Transfer Intensifies Selling Pressure

Pump.fun (PUMP) token has once again come under selling pressure after failing to sustain its resistance level. The PUMP has declined in the recent correction in the market, and it was rejected at $0.00238 and declined to $0.0021 after the supply from the Pump.fun team was increased.

Pump.fun Team Increases Token Sales

On February 17, 2026, according to the data provided by blockchain analytics site Onchain Lens, the wallet of the Pump.fun team received 3.75 billion PUMP tokens worth about $25.39 million from a wallet belonging to the Token Custodian.

The wallet held these tokens for about seven months before selling 543.23 million PUMP tokens worth about $1.2 million.

This transaction has resulted in an estimated loss of $2.48 million for the team. Despite the sale of some of the holdings in the wallet, it is estimated that there is still an amount of 3.2 billion PUMP valued at around $7.07 million in the wallet.

With the price of the token trading lower than its 2025 high of $0.009, there is an estimated loss of more than $17 million.

The selling of tokens during a period of market weakness could add downward pressure. In addition to that, large token releases to the market could exacerbate price declines, especially if overall sentiment is already weak.

Market data from Coinalyze shows that the sell volume exceeds the buying volume. At the time of writing, the PUMP token had a sell volume of about 641.5 million compared to a buying volume of about 629 million. This created a negative buy-sell delta of about 12 million PUMP.

Source: Coinalyze

Over the last 48 hours, the total sell volume has surpassed 8.6 billion PUMP. The high level of sell volume in the correction phase may cause the price to fall rapidly.

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PUMP Price Faces Bearish Pressure

The increase in selling activity has had a direct effect on PUMP’s price movement. As of this writing, the token is trading at around $0.002178. This has resulted in a minor decline in price over the last 24 hours. The market has been creating lower highs for two consecutive days.

Source: CoinMarketCap

Technical indicators are also suggesting a cautious outlook for PUMP. For one, PUMP has declined below its long-term exponential moving average, which indicates that buyers are losing strength and that sellers are taking control. In addition, the Relative Strength Index (RSI) has declined below 50 and has declined from 51 to 47.

Source: TradingView

As all of this information lines up, the overall market seems to be favoring a continuation of the downside risk. If the selling continues to be strong, then PUMP may fall to the support at $0.0017. However, if the buying does return and the price does manage to stay above $0.0022, then a move towards $0.0026 may be seen.

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