PENGU reaches 868,000 holders, supply continues to shrink – Signal for a bullish trend?

Pudgy Penguins (PENGU) has made its mark with 868,000 holders, while the number of traders on the Abstract chain has reached 340,233 — a testament to the growing spread and acceptance.

What is driving the momentum of PENGU's increase?

More than 357 million PENGU have been burned, corresponding to 13.69% of the total supply, while the RSI index remains balanced at 51.48.

Pudgy Penguins (PENGU) has just marked another important milestone on the journey to conquer the price increase, solidifying its position as one of the fastest-growing memecoin communities in the market.

However, the daily fluctuations are not very favorable: the price of PENGU has decreased by 6% in the past 24 hours, despite an impressive increase of 32% last week. This puts the memecoin at risk of a short-term correction.

However, the prospects remain bright. The stable increase in the number of holders along with strong token burning activities continues to send positive signals, revealing the possibility that Pengu will soon regain its breakthrough momentum.

The on-chain index of PENGU skyrockets

The total number of holders of PENGU has reached 868,000, demonstrating the growing strength of the community. On the Abstract chain, the number of holders recorded is 236,113, while the number of traders has reached 340,233, according to data from Dune Analytics.

Notably, over 357 million PENGU – equivalent to 13.69% of the total supply – has been burned, according to Whale Insider on X (formerly Twitter). Currently, the circulating supply stands at 62.86 billion PENGU out of a maximum supply of 88.889 billion. The fully diluted value (FDV) is at 2.967 billion USD, while the market capitalization is at 2.096 billion USD.

Source: SolscanRegarding transaction activities, the total number of transfers ( moving tokens) has reached 618,107, with a volume of nearly 657 million USD. Among them, about 41% of transactions belong to retail investors, with each order valued between 10 – 100 USD, but only contributing about 9.45 million USD. In contrast, whales and sharks, despite trading less, dominate the volume with 461 million USD. Additionally, the number of swap orders reached about 400,000, adding another 139.5 million USD to on-chain activities.

Although the on-chain indicators reflect significant strength, the price of PENGU has still slightly declined in the short term. However, the current price remains above a key support zone – a positive signal for the long-term uptrend.

Is the breakthrough sustainable?

The daily chart records a clear trend reversal after PENGU broke the downtrend line on September 8. Three days later, the SuperTrend indicator also confirmed the reversal signal.

Notably, the price has formed a double bottom pattern around the $0.028 mark, with the second test lasting up to 13 days. At the time of writing, the trading volume reached $368.5 million, a decrease of 15% compared to the previous day.

Daily PENGU/USDT Chart | Source: TradingViewCurrently, PENGU is fluctuating steadily around 0.033 USD, while the RSI is at 51.48 – a threshold indicating that the upward momentum still has the potential to be sustained.

If it holds above 0.033 USD, PENGU is likely to test the resistance zone of 0.040 USD again. Conversely, dropping to 0.030 USD and breaking through this level could disrupt the price structure, weakening the current bullish scenario.

SN_Nour