Pudgy Penguins [PENGU] prices plummeted by 9%

Pudgy Penguins [PENGU] prices plummeted by 9% over the last 24 hours, prolonging the ongoing price correction.

Pudgy Penguins (PENGU) memecoin prices slid by 9% in the last 24 hours, continuing the current price correction.

At press time, the token was trading at $0.01222—slightly above a crucial demand zone that had previously sparked strong reversals.

As the price correction met a key demand zone, traders were looking for signals of an upcoming bounce.

If the buyers can defend this zone and pull the memecoin back up, then a short-term bounce might be on the cards. A further break below this zone could negate the bullish bias.

Pudgy Penguins price action meets key demand zone

Recent price drops have brought PENGU into a high-risk and high-reward price zone.

The $0.012 demand zone has been critical in the past, with market players eagerly watching to see if it will hold again.

While the immediate action has been bearish, the overall market structure for PENGU remains bullish, which offers hope to buyers who are waiting to enter.

Chart: TradingView

Whale presence picks up near $0.012

Adding weight to this zone is clear whale activity.

CryptoQuant’s Spot Average Order Size data showed large buy orders clustering around this level.

This indicated that large players were positioning themselves for a reversal, potentially viewing the dip as a discounted entry.

The whale’s interest at this level adds credibility to the chances of a bounce, especially if the price manages to stay above the $0.012 level.

In the past, this type of whale accumulation usually preceded more aggressive upside price movements, particularly when combined with increasing open interest.

Image: CryptoQuant

PENGU Open Interest spikes — a bullish undertone?

According to CoinGlass, Open Interest on PENGU has been steadily rising since late April.

The sharp surge of OI indicates growing speculation and investor interest in the asset. An increase in OI along with heavy buying pressure can be an early indication of a reversal or a new trend.

Traders should note that rising open interest, in combination with whale accumulation, usually foreshadows a more substantial price move.

For PENGU, the convergence of these factors could be the signal for the completion of the current correction.

Image: CoinGlass

The next price movements will be crucial for the memecoin's direction. If PENGU can hold above the $0.12 region and whale behavior remains stable, a short-term bounce might be imminent.

However, a further drop below this key zone could invalidate the bullish bias.