Pauli blockade occurs when the excited electrons fill up the states near the conduction bands and block subsequent absorption in semiconductors, and has been widely applied in mode-locking for passively-pulsed-laser systems. In this letter, we report the first direct observation that the Pauli blockade is broken by ultrafast cooling of hot electrons in optically-pumped graphene. With femtosecond spectroscopy, we demonstrate that the time scale to excite an electron (~100 fs) is of the same order as that of the electron decay via electron-electron scattering, which allows the electron excitation interplays strongly with the cooling of hot electrons. Consequently, Pauli blockade is dismissed, leading to an unconventionally enhanced optical absorption. We suggest that this effect is a universal feature of two-dimensional layered materials, which sheds the light of ultrafast carrier dynamics in nonlinear physics and inspires the designing of new-generation of ultrafast optoelectronic devices.