Pudgy Penguins PENGU Forms Cup and Handle, Targets $0.047 Breakout

Pudgy Penguins' native token, PENGU, is drawing attention from analysts as it appears to be forming a classic cup and handle pattern, a bullish continuation pattern that suggests the potential for a breakout above key resistance levels. According to technical analysis from Ali, PENGU could be positioned to rise toward $0.082 if the $0.045 neckline is confirmed on strong volume [1]. The setup involves a deep correction from $0.045 to $0.008 in May 2025, followed by a steady recovery back to $0.045 in early August [1]. The handle is currently forming between $0.033 and $0.040, with consolidation indicating preparation for a possible upward move.

The technical indicators suggest that the bullish momentum is building without overbought pressure. The RSI stands at 61.94, which is above its 58.18 moving average, indicating sustained upward bias [1]. In contrast to previous rallies in June and July, where RSI reached overbought territory before pullbacks, the current reading suggests a more controlled bullish phase. The Accumulation/Distribution (A/D) line has also shown a steady increase since mid-June, at -27.83B, reflecting consistent buying pressure, even during minor corrections [1].

Key resistance levels to monitor include $0.0419 and the major breakout level at $0.045. If the price closes above this level on strong volume, it would confirm the pattern’s completion and potentially accelerate momentum toward $0.05 and beyond. Conversely, failure to break above $0.045 could result in a return to support levels at $0.035 or even $0.030, depending on broader market conditions [1].

Fundamentally, Pudgy Penguins is reportedly preparing an ETF filing with CBOE, which could offer increased institutional exposure and regulatory clarity. The SEC is currently reviewing the application, and the broader market has taken note of PENGU's growing appeal, particularly in Asia, where it has earned the nickname “Asia’s DOGE” [1]. This growing traction suggests increasing retail adoption and cultural relevance in key markets.

Short-term price action is showing a constructive bias, with higher lows and controlled pullbacks reinforcing the bullish structure. Analysts are closely watching for a clean breakout above $0.047, which could not only set a new all-time high but also signal a shift in market sentiment toward PENGU as a strong performer in the broader crypto market [1].

Source: [1] Can Bulls Break $0.047 and Target $0.07 in August? (https://bravenewcoin.com/insights/pudgy-penguins-pengu-price-prediction-can-bulls-break-0-047-and-target-0-07-in-august)