Summary
Pudgy Penguins (PENGU) went up by 8 percent after the last 24 hours and is currently exchanging hands at a price of 0.0101.
Price has kept it bearish because it has failed to move above the 50-day and 200-day EMA.
There are technical signs anticipating the further bearish trend, such as RSI and Awesome Oscillator.
Since the middle of May, price action remains under a decline channel.
Important support at the level of 0.008; resistance is close to 0.012-0.013.
PENGU Price Analysis: Can Bulls become dominant?
The meme-stimulated token, Pudgy Penguins (PENGU), has experienced an 8 percent increase in its interday prices, which was temporarily giving hope to the community. According to CoinMarketCap, the token is trading at the current rate of $0.0101 with slight bullish recovery near support points. Nevertheless, this increase may not justify the general bearish performance.
Source: Tradingview
Technical Perspective: Bearish Structure is still there
PENGU also hugely languishes under both 50 and 200-day EMAs despite the recent surge, which is an indication of the extended fall. The price admires the declining channel that formed since the middle of the month of May, which signifies low highs and low lows.
Present figures:
- As of Price: 0.0101
- High Price: 0.017
- Awesome Oscillator: -0.0005137 (bearish)
- RSI: 37.82 (nearing overbought)
There are red bars overwhelming in the Awesome Oscillator, representing a higher selling pressure. The RSI indicates that the token is approaching the zone of oversold but it is not yet there, indicating possible further sell-offs before a possible price increase.
So what is next to Pudgy Penguins?
PENGU is dancing at an important support zone. The lower trendline of the channel is something that traders are supposed to watch. A fall further than this may push the token down to the $0.008 support.
PENGU will need to defend, though, and see a volume fulcrum to counter back to the resistance zone of around $0.012 to 0.013 level. However, to establish a true trend turnaround, it is required that the moving averages are broken.
Indeed, as is evident in the technical arrangement, there is a decline in price and the trend is negative.
PENGU Pitfalls Tips of Risk Management to the Traders
- Be on the lookout and see a break below $0.008 because that can create more selling.
- It is possible that a volume around the $0.010 mark will mean a relief rally.
- Fear of missing out is not good; it is better to wait and get confirmation above important areas of resistance.