PENGU surged 23% when Justin Sun joined Huddle - What's next for the price?

Pudgy Penguins (PENGU), one of the most prominent meme coins in the market, has recorded a strong bullish surge of up to 23%, raising weekly profits to 86%. This growth is not only the result of strong fundamentals but is also driven by special attention from TRON founder, Justin Sun. Through a post on X, Sun has endorsed this coin, igniting interest from the crypto community and fans.

United community and impressive bullish trend

Pudgy Penguins, a meme token developed on the Solana platform and inspired by the famous NFT collection, has recorded double-digit growth after a strong viral wave on social networks.

Justin Sun recently shared a GIF featuring the characteristic penguin, wearing a t-shirt printed with the TRON logo. He humorously captioned it: "Everyone has become a penguin."

This post quickly attracted attention in the cryptocurrency community and the Pudgy Penguins community, with enthusiastic responses from fans. The official Pudgy Penguins account on X quoted Sun's post and wrote:

"Justin looks really stylish. Welcome to Huddle."

This viral moment has significantly increased interest around the PENGU token, driving its value up and fueling speculation about its potential for strong growth in the future.

Notably, the price explosion of PENGU occurred just a few days after on-chain analyst Ali pointed out the potential growth of the Pudgy Penguins token. Ali emphasized that PENGU has a truly solid foundation.

"Just compare the success of PEPE with the current position of PENGU, and you'll feel like this is a once-in-a-lifetime opportunity. The big difference? Pudgy Penguins has real backing behind it," Ali shared.

In addition, the analyst also noted the "textbook bullish retest" of PENGU on July 10 and predicted that the short-term price target could reach $0.06 in August. However, this still depends on whether the U.S. Securities and Exchange Commission (SEC) approves the Canary's spot ETF for PENGU.

Interestingly, the SEC just confirmed this filing a few days ago, a decision that caused the price of PENGU to surge by 23%, reaching a high not seen in many months.

PENGU Price Outlook

Looking at the price outlook for Pudgy Penguins, technical indicators suggest that this token is in a strong recovery trend, with the potential to reach its all-time high (ATH) of $0.07, recorded on December 17th last year. Indicators such as the SMA moving average and RSI index both indicate stability and strong growth potential.

Technical indicators are showing that the token is holding strong on important support levels, identified by the 50, 100, and 200-day SMA, at levels of $0.012, $0.011, and $0.013, respectively. Any selling pressure will encounter strong resistance from significant buying momentum at these support levels, indicating that the market tends to maintain a bullish trend.

The RSI indicator also confirms the bullish trend, as it continuously creates higher highs and higher lows, further reinforcing the recovery of PENGU.

If buying pressure continues to increase, the price of PENGU may return to the important support level at the 50% Fibonacci level at $0.036. If it surpasses this level, the token could continue to break through the 61.8% Fibonacci retracement level at $0.044, turning this into a solid support level.

A strong candle closing above this level on the daily timeframe will create momentum for PENGU towards reclaiming the ATH of $0.07, equivalent to a 130% increase from the current price.

However, if investors decide to take profits early, this could disrupt the bullish momentum of PENGU. If it breaks the Fibonacci level of 23.6%, the token may revert to the accumulation phase below $0.019, where buyers will have the opportunity to re-enter at a lower price, near the SMA line.

PENGU Price Chart 1 Day | Source: TradingViewAnalysts and investors are closely monitoring the development of Pudgy Penguins, especially as PENGU is gradually approaching new price levels. The Alligator indicator shows a significant divergence between the moving averages, reflecting a strong bullish trend that is currently underway.

However, many investors are concerned that taking profits too early could disrupt the bullish momentum of PENGU. Short-term price corrections are inevitable, but if PENGU can surpass important support levels, this coin may continue its strong growth journey.

Overall, PENGU has demonstrated its strength and growth potential over the past time. The involvement of Justin Sun not only created a strong viral wave but also helped elevate the value of this token in the eyes of the crypto community. While solid fundamentals along with favorable technical indicators are driving the value of PENGU, the increasing interest from institutions and large investors promises to be a key driving force for this meme coin in the near future.

Pudgy Penguins is currently facing a breakout opportunity, with the potential to reach new highs. However, like all cryptocurrency assets, volatility is inevitable, and investors need to closely monitor market developments to effectively seize opportunities.

Emma