The Pudgy Penguins NFT collection has recently seen a significant decline in sales volume, dropping by 31.4% over the past month, according to data from NFT Price Floor. The initial fervor surrounding NFTs has diminished considerably since the heights of the 2021 boom, failing to regain prior excitement.
The native token of the Pudgy Penguins, known as PENGU, is categorized as a memecoin, although it serves a purpose within its ecosystem. Starting in August, when the token’s price was at $0.032, it has since experienced a downward trajectory, now valued at $0.0086—a 73.5% decrease over five months. The question arises whether PENGU proponents can reverse this trend.
Some in the crypto community assert that memecoins often experience revivals. A recent example mentioned is Pippin (PIPPIN), yet it remains uncertain whether PENGU can achieve new all-time highs in the near future. On-chain analysis indicates a trend of PENGU being withdrawn from exchanges, implying accumulation by holders who are likely transferring their tokens into cold storage. However, while outflows were noted, they were not as pronounced as similar patterns observed during May and June 2025, and such measures have not succeeded in stabilizing the token’s price.
To assess potential movements, a long-term analysis of PENGU’s price charts reveals a bearish structure break observed on December 15, when the price fell below $0.0099. Unfortunately, the outlook for a bullish recovery appears bleak in the short term. The crucial support level of $0.009 that was once vital in June has recently been compromised. The On-Balance Volume (OBV) has been consistently declining, indicating a lack of buying interest.
In light of this, further price declines could see PENGU testing support levels around $0.0054 and $0.0039, which were established back in March and April. Currently, the attention is on the immediate support level of $0.00855; should this level be breached, it may pave the way for a retest as resistance, potentially setting the stage for a short-selling opportunity.
As the Pudgy Penguins NFT collection grapples with falling prices and reduced trading volume, PENGU has been adversely affected. The overall sentiment remains cautious, suggesting further challenges ahead for the token. However, crypto markets are known for their volatility and capacity for unexpected recovery, leaving room for optimism amidst the current downturn.