Pudgy Penguins (PENGU) price has surged 12% in the last 24 hours, surpassing BONK to become the largest meme coin in the Solana ecosystem with a market cap of approximately $2.5 billion.
PENGU’s current uptrend positions it near key resistance levels, with the potential for significant gains if bullish momentum persists. However, traders are also cautious of a possible reversal, as the uptrend shows early signs of losing strength.
PENGU RSI Is Now Neutral, After Touching 70
PENGU Relative Strength Index (RSI) is currently at 60.2, down from 70 just a few hours ago after climbing from below 50 only two days ago. This recent movement reflects a strong surge in buying momentum, followed by a slight pullback as the token dipped out of overbought territory.
While the RSI remains in a neutral-to-bullish range, the decline suggests a cooling of buying activity, potentially indicating that the market is entering a consolidation phase.
RSI is a momentum oscillator that measures the speed and magnitude of price movements on a scale of 0 to 100. An RSI above 70 indicates overbought conditions, often leading to a price correction, while an RSI below 30 suggests oversold conditions, signaling a potential rebound.
With PENGU’s RSI at 60.2, the coin is in a healthy range, suggesting there is still room for upward movement if buyers reassert control. However, the recent decline from overbought levels implies that PENGU price may stabilize in the short term, allowing the market to absorb gains before deciding its next direction.
PENGU CMF Is Still Very Positive
PENGU Chaikin Money Flow (CMF) is currently at 0.17, down slightly from its peak of 0.21 on December 25. This follows a significant shift from negative CMF values between December 21 and December 23, indicating that buying pressure has strengthened considerably over the past few days.
While the CMF remains firmly positive, the slight decline suggests that the intensity of capital inflows has eased but still reflects a bullish market environment.
CMF is a volume-weighted indicator that measures the accumulation or distribution of an asset over time, with values ranging from -1 to +1. Positive CMF values indicate accumulation and strong buying pressure, while negative values signal distribution and selling activity.
With PENGU’s CMF at 0.17, the ongoing positive inflow suggests that buyers are maintaining control, supporting the likelihood of price stability or further gains in the short term. However, the slight drop from the recent peak could signal a possible consolidation period as the market balances the recent upward momentum.
PENGU Price Prediction: A Further 29.7% Upside?
If the current uptrend continues, PENGU price could soon test $0.43, a key level that may pave the way for further gains.
Breaking this resistance could see PENGU rise to $0.45 and even $0.50, marking a potential 29.7% upside from current levels. This would consolidate PENGU’s position as the biggest meme coin on Solana even more.
However, as highlighted by RSI and CMF, the uptrend could be losing strength, suggesting the possibility of a reversal. If this occurs, PENGU could test the $0.37 support level, and if that fails to hold, the price might drop further to $0.30.
In a worst-case scenario, a prolonged downtrend could push PENGU price as low as $0.229.
Disclaimer
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