PENGU's Bull Run Hinges on SEC Approval and Solana's New Utility Play

Pudgy Penguins (PENGU) has demonstrated significant bullish momentum in the past week, surging over 13% as traders speculate on its potential to capitalize on the upcoming U.S. Securities and Exchange Commission (SEC) decision on the first PENGU Exchange-Traded Fund (ETF) in mid-October 2025. Canary Capital’s ETF filing, coupled with high odds of approval for most crypto ETFs, has generated optimism among investors. PENGU’s price recently broke through a long-standing descending trendline, signaling a potential repeat of the July rally and attracting attention from both retail and institutional participants.

The cryptocurrency has also seen a 359% surge in trading volume over the past 24 hours, reinforcing the strength of the recent rally. On the technical chart, PENGU is consolidating near key resistance levels, with the next immediate target at $0.038. A confirmed breakout above $0.045–$0.05 would validate a broader bullish trend. Meanwhile, the Relative Strength Index (RSI) remains neutral at around 51, while the Moving Average Convergence Divergence (MACD) is flat, suggesting traders are waiting for further confirmation before committing to larger positions. Analysts have highlighted the importance of maintaining a level above $0.031 to avoid a potential decline to $0.029–$0.027.

The market’s focus on PENGU has not been limited to price action alone. The growing interest in Pudgy Penguins has also drawn attention to utility-based projects within the Solana ecosystem. For instance, Best Wallet (BEST) has attracted significant investment, having raised over $15.60 million in its presale. The project combines a user-friendly interface with low-fee staking and token swaps, offering a compelling alternative to traditional crypto wallets. While PENGU’s rally highlights the meme coin sector’s potential, BEST represents a broader shift toward utility-driven projects, signaling a diversification of capital flows within the Solana blockchain.

PENGU’s recent performance is also being analyzed through Fibonacci retracement levels, with key support at $0.020 (0.618 Fibonacci retracement) and resistance at $0.026. Analysts have noted that a consolidation phase may occur but that the technical setup suggests a strong rally is possible in the fourth quarter. The EMA 200 trend line remains below the current price, reinforcing the bullish bias. Additionally, the increase in buying pressure, as indicated by green volume bars, suggests a growing consensus among traders that PENGU is building a foundation for further gains.

The potential approval of the Canary PENGU ETF by the SEC adds another layer of bullish sentiment. If approved, the ETF could bring in a new wave of mainstream demand, particularly from investors who have historically favored regulated investment vehicles. The 19b-4 filing with the SEC seeks to list an ETF that would invest 80–95% in PENGU tokens and 5–15% in Pudgy Penguin NFTs. This marks a significant development for institutional exposure to meme coins and NFTs, potentially legitimizing these assets in the eyes of traditional investors.

As the market awaits regulatory clarity, PENGU’s price trajectory remains a focal point for traders seeking exposure to high-growth opportunities. The confluence of bullish technical indicators, increased volume, and regulatory developments suggests that PENGU is on a path to extend its gains, provided it sustains its current momentum above critical support levels. For now, the market is closely watching how these dynamics unfold, particularly in the context of broader Solana ecosystem developments and the potential approval of crypto ETFs.