PENGU, the utility token of Pudgy Penguins NFT, jumped 24% on Thursday, July 11th, to trade at $0.0193. This upswing likely followed the broader market as Bitcoin hit a new high of $117,000. However, analysts are connecting the recent momentum in Pengu to Pepe’s coin bottom formation pattern, which led to a parabolic rally in 2024. Will Penguin-themed memecoin follow a similar trend?
Analyst Says Pengu Could Mirror PEPE’s Price Action
In a recent tweet, renowned analyst Ali Martinez sparked curiosity in the meme community by highlighting Pengu’s potential for high momentum, similar to how Pepe performed in 2024.
The parallel chart highlights the resemblance between Pepe’s late 2023 accumulation zone and the current consolidation in Pengu. The key factor to note is that their price movement is the formation of the first higher low.
“When you compare what PEPE accomplished to where PENGU stands today, it feels like a once-in-a-lifetime entry,” Ali wrote.
After the initial recovery from the bottom formation, these coins experienced a brief dip before regaining their bullish momentum. Later, the price found demand pressure way above the bottom support, signaling that buyers had entered a ‘buy-the-dip’ sentiment.
The setup supports PEPE price for a massive rally to a $0.0000172 high.
Daily Chart Reveals Bullish Cup-and-Handle Pattern;
A deeper analysis of the daily chart of Pengu shows that the higher-low formation has developed into a cup-and-handle pattern. The chart set-up is commonly spotted at major market bottoms, as it offers buyers a long accumulation zone before a breakout that signals the change in market direction.
With an intraday gain of 24%, the memecoin offers a massive breakout from the $0.0172 neckline resistance of the pattern. If history repeats, the post-breakout rally could push the meme coin another 60% to hit a psychological mark of $0.03.
However, if the coin buyers sustain the breakout above $0.0172, the selling pressure will resume and prolong the prevailing sideways trend.
Also Read: Ethereum Price Eyes $4k Rally Amid Rare Golden EMA Cross
