Memecoin Holds Critical Support After Rebound

The PENGU memecoin is trading in a tight range near $0.02822 as the broader market finds its footing. After a recent 6.7% rebound, the token has successfully defended the critical support level at $0.026, a zone that has been repeatedly tested. This price stability has captured the attention of traders, who are now closely watching for the token’s next directional move.

On the daily chart, PENGU has established a solid base between $0.0260 and $0.0263. As long as this foundation holds, the potential for another rally remains. The immediate support area to watch is between $0.0281 and $0.0284. However, if selling pressure intensifies and the $0.026 floor gives way, the price could retreat toward the $0.022 to $0.025 range. A deeper long-term safety net sits at the 200-day Exponential Moving Average (EMA) around $0.0197.

Resistance and Potential Breakout Targets

For buyers to regain control, PENGU must overcome several resistance levels. The first significant hurdle lies between $0.0303 and $0.0306. A decisive break above this area would bring the next challenge into view at $0.0317, which aligns with the 0.382 Fibonacci retracement level. Clearing this zone could trigger a stronger push toward the $0.0344 to $0.0346 region.

The most significant breakout target for bulls is the psychological barrier at $0.040. If PENGU can surpass and hold above this level, it would signal a potential shift to a more sustained uptrend, with the next logical target around $0.0440.

Market Indicators Signal a Coiling Pattern

Momentum indicators currently lean in favor of the bulls. The Money Flow Index (MFI) is at 32.6, suggesting the asset is in oversold territory and buying interest may be building. At the same time, the Directional Momentum Index shows that bearish strength is fading, while the Average True Range (ATR) is compressing—a classic sign that the price is coiling for a significant move.

Market data also reveals strong buy walls near $0.02, indicating accumulation by large-scale investors. Conversely, heavy sell orders are clustered around the $0.04 mark, suggesting that major token holders may look to take profits if the price rallies to that level.

What to Watch Next

The immediate test for PENGU is whether it can convert the $0.030–$0.031 resistance into a new support floor. A successful flip would make a rally toward $0.034 highly probable, with $0.040 remaining the primary objective. Failure to break through this initial resistance could send the price back down to retest the $0.026 support level.