PENGU Token Faces Whale Sell-Off but Hints at Possible Recovery

Whale sell-off reflects profit-taking post-airdrop; retail traders may drive rebound if support holds.Pudgy Penguins’ active community, exchange liquidity may counter whale exits; next 48 hours critical for trend.The PENGU token, tied to the Pudgy Penguins NFT collection, has seen a sharp decrease in value after large investors sold holdings worth millions. On-chain data shows Sigil Fund, a major holder, moved 52 million PENGU tokens to exchanges, contributing to a nearly 50% price drop from recent peaks. The token now trades at levels last observed weeks ago, raising questions about its short-term stability.ETHNews technical analysts, however, suggest the sell-off may not signal long-term decline. Charts indicate PENGU is forming a bullish triangle pattern, a setup often preceding upward price movements. Traders note the $0.010559 level as a key support zone. If buying pressure stabilizes the token above this threshold, projections based on historical patterns point to a potential climb toward $0.01596—a 42% increase from current prices.Traders analysts argue the whale activity reflects profit-taking rather than abandonment. PENGU recently gained attention after its Binance listing and a token airdrop, events that typically prompt early investors to secure gains. Crypto analyst @ChartPengu described the situation as a “reset,” noting that retail traders could now drive demand if confidence in the token’s utility persists.The token’s connection to Pudgy Penguins, a well-known NFT brand with a dedicated following, may cushion further declines. Community engagement remains active, and exchange listings continue to provide liquidity.Source: PENGU/TradingviewStill, the immediate outlook hinges on whether smaller buyers step in to absorb selling pressure near the $0.010559 floor. Rules-based traders are monitoring volume shifts closely, as a breakdown below support could invalidate bullish assumptions.While whale exits often unsettle markets, PENGU’s technical posture and underlying brand strength offer a counter-narrative. The next 48 hours will test whether the token’s design—a blend of meme culture and speculative appeal—can withstand concentrated selling and reignite upward momentum.The post PENGU Token Faces Whale Sell-Off but Hints at Possible Recovery appeared first on ETHNews.