7 hours ago
12
PumpFun, a Solana-based meme coin launchpad, has halted new token creations following extreme volatility in the market. The decision follows increased uncertainty in the crypto space, raising concerns among users about the future of newly launched tokens.
Solana’s PumpFun Meme Coin Faces Decline After Initial Surge
In September 2024, Solana’s PumpFun meme coin experienced a surge in bonding activity. The number of coins bonded per day started at low levels but quickly gained momentum. By October and November 2024, the trend showed consistent growth, with daily bonding exceeding 400 coins.
This upward movement peaked in January 2025, reaching over 1,000 coins bonded daily. The rally reflected strong enthusiasm and participation in the project during that period.
However, the momentum did not last. By late February 2025, the bonding rate started to decline sharply. As March 2025 began, the number of coins dropped to near zero, signaling a dramatic loss of interest.
The decline in bonding activity and token creation suggests that interest in the platform has waned, a development that is affecting liquidity and market participation in Solana.
Bonding activity and token creation on Solana have dropped, indicating reduced interest in the platform. This shift is impacting liquidity and market engagement.
Additionally, LIBRA’s price faced liquidation. Meanwhile, Solana’s meme coin market cap stands at $8.56 billion, reflecting a 1.4% decline in 24 hours.
Bitcoin Fear and Greed Index Plunges Indicating Extreme Market Fear
The Bitcoin Fear and Greed Index has dropped to 10, signaling extreme fear in the market. Bitcoin’s current price stands at $84,119, reflecting heightened uncertainty among market participants.
A fear index reading this low suggests that traders are hesitant, leading to reduced activity and potential sell-offs. Historically, such extreme fear levels have preceded significant market movements, either triggering rebounds or prolonged downturns.
Bitcoin Fear and Greed Index is 10 – Extreme Fear
Current price: $84,119 pic.twitter.com/kAkFWZL1LH
— Bitcoin Fear and Greed Index (@BitcoinFear) February 27, 2025
Will Solana Price Recover?
Solana’s price has mirrored broader market trends, experiencing fluctuations amid uncertainty. While some traders anticipate a rebound, others remain cautious, awaiting signs of market stability. The halt in PumpFun meme coin generation could limit new speculative inflows, potentially impacting the demand for Solana in the short term.
As of February 27, 2025, the Solana price stands at $136, reflecting a modest decrease of 2%. The SOL had dropped significantly earlier in the month, dipping below $120, before bouncing back to its current position.
The Relative Strength Index (RSI) stands at 36.85, slightly above the 30 threshold, indicating that the asset is approaching oversold conditions. The MACD is showing a negative divergence with a value of -5.982, reinforcing the bearish sentiment.
Key price levels to watch are the resistance at $140, which may act as a short-term barrier, and a further target at $150. A break above this level could potentially signal a shift in momentum. On the downside, the support levels for Solana Price Prediction are set around $130 and $120, with a major support zone near $110.
Source: TradingViewTo sum up, the Solana price remains under pressure as market fear grips traders. The halt in PumpFun’s meme coins creation adds uncertainty, while Bitcoin’s fear index signals caution. Market trends will determine Solana’s next move.
The post Solana’s PumpFun Meme Coin Production Halts Amid ‘Extreme Fear,’ Will Price Recover? appeared first on CoinGape.
English (US) ·