• PENGU drops 4.2% in 24 hours amid volatility.
• Weekly decline extends to 26.41%, showing weakening sentiment.
• Market capitalization drops 4.43% as trading volume weakens.
• Technicals show breakout potential if key levels hold firm.

Pudgy Penguins (PENGU) is under renewed selling pressure as the token records another day of decline. Over the last 24 hours, its price has fallen by 4.2%, extending its weekly losses to more than 26%.

At the time of writing, the token is trading at $0.02419 with a 24-hour trading volume of $463.44 million, down by 24.34%. Its market capitalization has also slipped by 4.43%, settling at $1.52 billion, which suggests a slowdown in buying momentum.

Also Read: PENGU Set to Explode: Could Hit $1 Before Year-End

PENGU Technicals Indicate Breakout Potential

Chart data highlights a strong recovery phase following an extended downtrend. The current price action shows a breakout from multiple falling wedge formations, a bullish indicator often preceding sustained rallies. PENGU’s gradual climb from earlier lows has reinforced its positive structure, with the price now hovering near $0.02424, just under a breakout zone.

The next major resistance sits within the $0.035–$0.055 zone, aligned with the previous all-time high region. A daily close above this area could validate the bullish continuation pattern and open the path toward long-term targets near the $0.14–$0.17 range, corresponding to a $10 billion market cap.

Volatility is still a concern. Narrow, sharp wicks in the first part of October remind us of potential fakeouts or abrupt falls in liquidity. Confirmation of the next upward movement should be awaited with rising volume and continually higher lows, higher than the $0.021–$0.022 area of support.

Funding Rate Stabilizes Amid PENGU Market Volatility

Support charts illustrate PENGU’s adjacency between price, open interest (OI), and trading volume. Open interest that previously spiked on earlier increases in prices recently fell by 9.61% to $142.80 million, showing diminishing leveraged exposure. Spiking trading activity has also exhibited a cyclical motion, with it widening during periods of price action volatility and contracting once conditions normalize.

The OI-weighted funding rate, currently sitting at 0.0005%, is kept in modest positive territory. This indicates a neutral market attitude with little expense for longs and weak bullish leaning. This in the past tended to be followed by periods of steady accumulation rather than sharp corrections.

Also Read: Pudgy Penguins (PENGU) Price Surges with Bold 10x Growth Prediction