PENGU Eyes Recovery: Can a 13% Rally End Its Two-Week Slump?

Price Surge: PENGU rallied 12.8% with trading volume up 33%, signaling renewed interest.

Resistance Levels: Must reclaim $0.017-$0.023 to confirm a sustained bullish trend.

Short-Term Momentum: OBV and MACD show increased buying pressure, favoring short-term bullish trades.

Pudgy Penguins — PENGU, recently caught the market’s attention after a 12.8% rally in just 24 hours. Daily trading volume surged 33% to $202 million, hinting at renewed interest from investors. The memecoin has struggled over the past two weeks, falling more than 28% from October 27. Traders are now asking whether this spike marks the start of a potential recovery or if the bearish trend will continue.

Price Action and Technical Overview

PENGU’s bearish structure has dominated its price action for nearly two weeks. The token dropped below the 78.6% Fibonacci retracement level at $0.016, showing strong resistance overhead. Analysts note that the imbalance around this level reinforces the struggle to reclaim previous highs.

Key technical indicators paint a mixed picture. On higher timeframes, the OBV has trended lower for a month, and the MACD lines remain close together. This signals that momentum remains weak despite the recent rally. For traders seeking confidence, reclaiming the $0.023 region as support appears crucial. Until that level holds, bullish bias remains uncertain.

Short-Term Momentum and Bullish Signals

Despite overall weakness, short-term charts show signs of buying pressure. On the 1-hour chart, internal and swing structures suggest bullish momentum. Local highs around $0.0162 are being tested, providing potential entry points for traders. OBV has increased since November 4, reflecting heightened buying activity. The MACD also shows stronger bullish momentum in the short term. This suggests that short-term traders may find opportunities to capitalize on small rebounds, even if long-term bias remains cautious.

For PENGU to sustain a bullish trend, it should move beyond the $0.017 area and hold that level as support. Traders may look for retracements to $0.016 before entering long positions, using this zone as a reliable risk-to-reward opportunity. While momentum is improving, the overall market structure still favors caution. Investors should monitor volume and resistance levels closely, as any failure to surpass the $0.017-$0.018 range could prolong the slump. On-chain activity and trading volume spikes will remain key indicators of a true recovery.

For now, Pudgy Penguins shows potential for a rebound after a 12.8% rally and rising trading volume. Short-term charts indicate bullish momentum, with OBV and MACD confirming stronger buying pressure. Key resistance levels between $0.016 and $0.017 must be overcome for a lasting recovery. Traders should watch volume trends and higher timeframe structures to gauge whether PENGU can fully escape its two-week slump.