PENGU’s falling wedge setup hints at a bullish breakout | Credit: Hameem Sarwar
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Key Takeaways
PENGU has dropped 21% in 30 days to $0.032 but shows signs of a potential bullish reversal.
The MFI has climbed, the MACD has flipped positive, and volume has surged above $370 million.
If demand holds, PENGU could break resistance between $0.034 and $0.036 and target $0.040.
Pudgy Penguins (PENGU) has shown surprising resilience, even after shedding 21% over the past 30 days. PENGU’s price trades at $0.032 at press time — a notable correction from its July highs.
Still, the charts suggest the token may be gearing up to break free from its bearish streak. Here are the key levels to watch and the potential upside targets PENGU could aim for next.
PENGU Recovery Loading
On the 4-hour chart, PENGU’s price has been printing a series of lower highs, gradually carving out a falling wedge pattern. Typically, this setup signals the potential for a bullish breakout once the price tests the upper trendline.
While PENGU hasn’t yet challenged that resistance, the Money Flow Index (MFI) has already climbed above the neutral 50 level — a sign that buying pressure is beginning to build. This shift in momentum indicates a bullish divergence.
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It could also be the early fuel needed for the token to break out. Beyond the MFI, the Moving Average Convergence Divergence (MACD) also backs the bullish case.
For the first time since Aug. 11, the MACD has flipped into positive territory, indicating a potential momentum shift in favor of the bulls.
Should this remain, PENGU’s price might break the resistance at $0.036, with support at $0.031. If successful, the token’s next target could be a move toward $0.041.
Amid the change. PENGU’s trading volume has surged to $371.39 million — a notable rebound after dipping below $200 million over the weekend.
Rising volume alongside improving technical indicators strengthens the bullish case, as it signals growing market participation.
In technical analysis, volume acts as confirmation for price moves. Thus, if PENGU continues to attract higher trading activity, the odds of a successful breakout from the falling wedge increase significantly.
However, if volume tapers off, any attempt at a rally may lack the strength to sustain upward momentum.
PENGU Price Prediction: Higher
For its short- to mid-term outlook, CCN examined the 1-hour chart, where PENGU has also carved out a falling wedge — a setup that reinforces the potential for a bullish breakout if momentum holds.
If buyers keep up the pressure, PENGU could break through resistance at $0.034. A successful breach would likely set the stage for a move toward $0.036 at the 0.382 Fibonacci level.
From there, a rally to $0.040 — aligning with the 0.618 golden pocket — is also possible.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
