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- PENGU rallied 9% as Bitcoin and Ethereum rose.
- NFT trading volume spike supported short-term momentum.
- $0.027 resistance is critical for a sustained bullish shift.
The Pudgy Penguins [PENGU] token has seen a notable 9% rally over the past 24 hours, signaling a brief shift in market sentiment. This comes alongside broader crypto gains, with Bitcoin [BTC] climbing 3.3% to $115,000 and Ethereum [ETH] surging 7%. As the NFT market shows renewed activity, traders and collectors are closely watching PENGU’s next moves.
NFT Sales Drive Short-Term Momentum
Pudgy Penguins NFT trading has seen a sharp increase in volume over the past month. Following the October 10 liquidation event, floor prices dipped from 10 ETH to 7.21 ETH, drawing attention from opportunistic buyers. The uptick in NFT activity has contributed to PENGU’s recent price bounce, highlighting the link between the token and its underlying digital collectibles.
Persistent Bearish Pressure Weighs on PENGU
Despite the recent rally, PENGU has faced sustained bearish sentiment since mid-August. After losing the $0.032-support level, the token struggled to maintain upward momentum. Social media sentiment has been negative since late July, with few positive mentions generating meaningful volume. Additionally, Open Interest in PENGU derivatives has declined, reflecting weak confidence among traders.
On-chain metrics also suggest consistent selling pressure. Coin Days Destroyed spiked several times in October, coinciding with new price lows and emphasizing ongoing liquidation. While the token maintains a bullish swing structure from its June rally to $0.046, the series of lower highs and lower lows since August underscores a clear downtrend.
Also Read: Pudgy Penguins (PENGU) Rebounds 17% as Smart Money Fuels Memecoin Market Recovery
Technical Indicators Hint at Possible Recovery
Technical signals provide cautious optimism for bulls. The Chaikin Money Flow (CMF) has not indicated heavy, persistent selling, which may allow room for a turnaround. Key resistance at $0.027 must be overcome to shift PENGU’s internal structure toward a bullish trend. Traders will be monitoring this level closely to determine whether the recent rally can sustain momentum.
PENGU’s latest 9% gain reflects a temporary bullish swing amid broader market recovery and rising NFT activity. However, ongoing social media negativity and persistent on-chain selling indicate the path forward is uncertain. Breaking the $0.027 resistance could mark the start of a more sustained rally, but cautious trading remains essential.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
