PENGU is a meme-token that has brought the focus back to cryptocurrency after being oversold during a consolidation period and has attracted attention from technical analysts once again.
PENGU has built up to the point of testing the key resistance level of $0.0128 to $0.0130 after multiple tests to breach the recent highs. At press time, the coin is trading at $0.01236, with a decline of 3.47% over the past 24 hours.
Chart Signals a Potential Breakout Above $0.013
The TradingView chart shows the test at the level at approximately $0.0124. The primary thing to note is the consolidation (sideways) pattern while approaching the resistance level.
Although the Momentum indicators (RSI) are significantly starting to show bullishness, and momentum (MACD) has moved from negative to positive and is showing green in the histogram; there is still time before we can determine if these levels have true bullish conviction.
We are starting to see a reversal pattern take shape within the coin price structure that may provide an opportunity to validate the previous momentum. The immediate support is also around $0.0103, which has been the demand zone for the coin during recent corrections.
The break above resistance long term would suggest a dismantling of the current downtrend structure seen since early October.
Also Read: PENGU Technical Outlook: Recovery Phase Signals Potential Bull Run to $0.19
Analyst Highlights A Target Near $0.020
According to the recent update on X by Crypto analyst Ali Charts has added a bullish narrative to PENGU tokens with their recent post on social media. Charts stated that based on a 12-hour chart setup, if PENGU breaks above $0.013, it could have an explosive breakout towards the $0.020 mark (over 50% upside).
In conclusion, the coin is currently sitting in a technical inflection point with improving momentum indicators and further backing from the analyst we highlighted around $0.013. An eventual confirmed breakout will create a severe short-term rally off this level, but rejection would mean more consolidation within the channel of approximately $0.010 to $0.013.
Also Read: Pudgy Penguins(PENGU)Surges 30% as Key Trendline Break Sparks Bullish
