Yes, only bad projects would be dumped and the price will not recover after the end of the bounty. If it was a good project, 1%-2% of funding for bounty aint the problem and can't cause or trigger a dump. Any project blames their price fall on bounty hunters are just bad and want to use bounty hunters as their scapegoat.
Dumping is not possible with 1% of the tokens (even if we assume that all the bounty hunters will be getting rid of their tokens at the same time). And if the project team believes that the bounty hunters are selling the tokens at cheap rates, what prevents them from purchasing these tokens at such low prices? These are just silly excuses to hide the defects in the project.