Pudgy Penguins (PENGU) Surges 20% as NFT Sales Explode

Pudgy Penguins (PENGU) has recently experienced a significant price surge, climbing over 20% in a single day. This substantial move has caught the attention of traders who are now closely monitoring the cryptocurrency's next steps. The recent price action has shown PENGU breaking out of a long consolidation phase and heading towards a key resistance area.

For most of March and April, PENGU's price was drifting lower, eventually finding support around the $0.006–$0.008 range. This zone became a reliable support area, with buyers stepping in every time the price dipped. Since then, the PENGU chart has been forming a series of higher lows along a rising trendline, indicating clear upward momentum. The 50-day simple moving average (SMA), now sitting near $0.012, has played a crucial role. After PENGU's price broke above it in late April, the line has held as a dynamic support level. Additionally, there have been two clear break-of-structure points, one in May around $0.018 and another earlier this month near $0.0155, both marking a shift in direction as the price pushed through previous highs.

PENGU's recent breakout has been rapid and aggressive, with three large green candles driving the price to $0.023, just under a resistance zone between $0.025 and $0.026. This area served as a supply zone back in April and is now the next big hurdle. If buyers can break through and close above it, the next target could be around $0.03. However, a pause or pullback wouldn't be surprising, especially if volume doesn't support the move. For now, the trend remains intact as long as PENGU's price stays above the SMA and the rising trendline.

The Relative Strength Index (RSI) is currently above 80, indicating that the momentum is high but also that the market is in overbought territory. Back in May, a bearish divergence in the RSI preceded a correction. In June, a bullish signal came before the current surge. With the RSI stretched again, traders are watching for signs of a cool-off. If PENGU's price pulls back, support could come in at the trendline or the 50-day average.

PENGU's trend remains bullish as long as the token holds above key support levels. The setup favors continued upside, but if PENGU's price loses those zones, attention may shift back to the lower demand range. For now, the momentum is real, and the $0.025 level could be the next big test.

PENGU's recent surge has also been accompanied by a significant increase in its NFT sales. The NFT volume for Pudgy Penguins exploded overnight, reaching nearly 1,000 ETH in 24 hours. This surge in NFT sales has coincided with a 30% increase in PENGU's price, suggesting a strong correlation between the token and its NFT ecosystem. This dual momentum from both the token and NFT sides could drive a more sustained rally for PENGU.

Some analysts have suggested that if PENGU were to reach Dogecoin's market cap, its price could potentially hit $0.42, representing a 22x increase from its current level. Furthermore, if PENGU were to climb to Dogecoin's all-time high market cap, the price could soar to $1.41, a 73x increase. However, it is important to note that these are speculative forecasts and not actual market data.

While it is too early to crown PENGU the next Dogecoin, it is moving in the right direction. It is building a solid technical foundation, showing rising volume, a cleaner structure, and real traction from its NFT ecosystem. If the $0.022 level flips with conviction and the $0.045 target comes into play, more DOGE-style comparisons could start flooding in. Some market watchers believe that PENGU does not need to become the next Dogecoin to deliver significant gains. It just needs to keep gaining attention, holding its trend, and building from both the token and NFT sides. If this momentum sticks, the $0.045 to $0.060 zone might arrive sooner than many expect.