Pudgy Penguins' PENGU token has plunged 17% over the past week, trading at $0.03533 after a 6.5% daily drop, reversing its 500% rally from late June. The decline coincides with $17.67 million worth of PENGU tokens moved to exchanges since early July by an address linked to the project's deployer wallet. Most recently, 150 million tokens ($5.64 million) were deposited to Binance on July 30.
Technical indicators reinforce bearish sentiment: a bearish MACD crossover emerged, RSI dropped from overbought levels above 73 to 57.6, and Stochastic RSI entered the lower zone. Despite maintaining support near the 20-day SMA at $0.0352, the token broke its pattern of higher lows – a critical bullish structure. Analysts note RSI divergence formed as prices hit new highs while momentum weakened.
Spot trading volume surged 34% to $943 million and derivatives volume rose 27% to $2.76 billion, yet open interest dipped 1.76%, signaling reduced short-term positions. Critical support lies at $0.030, with breakdown risks below the $0.035 trendline confluence. Long-term technicals remain cautiously optimistic with the 50-day EMA at $0.0257 and 200-day EMA at $0.0182.