The cryptocurrency Pudgy Penguins [PENGU] witnessed a remarkable uptrend of over 20% within the last 24 hours, showcasing a substantial increase on the hourly chart.
Its price surged from $0.021945 to reach a peak around $0.026309, as the market eagerly awaited the launch of the Abstract chain mainnet.
This bullish movement was fueled by a surge in buying activity, evident from the MACD volume bars during that timeframe.
With the ADX indicator currently at 23.55, there is a suggestion of a moderate strength in the trend of PENGU, indicating a solid upward movement as opposed to a weak, volatile spike.
Notably, the MACD presented a bullish crossover at the beginning of this period, aligning with the onset of the price rally and confirming the prevailing momentum.
However, the MACD also indicated a slight bearish momentum, as the signal line stood above the MACD line, and a negative histogram reading of -0.000321 was observed.
This implies that while the trend has been predominantly upward, there is a possibility of a potential downturn in the near future.
Looking ahead, despite the recent price surge signaling bullish sentiment, a price retracement remains a plausible scenario as traders often take profits following significant gains.
Monitoring the MACD and ADX indicators can help in identifying any signals of weakening momentum or shifts in the direction of the trend.
The Impact of Social Engagement on PENGU’s DEX Trading Volume
The NFT project, Pudgy Penguins, has now ventured into the world of memecoins on the Solana blockchain and is gaining considerable traction in the crypto space due to its robust social presence.
Enjoying widespread visibility across platforms like Instagram, Giphy, and X, PENGU commands a significant social following.
PENGU’s merchandise is prominently featured in leading retail outlets in the United States and has garnered national media coverage, including an interview on NYSE TV.
As an integral component of the Igloo ecosystem, PENGU is poised to enhance the forthcoming Abstract chain mainnet launch by serving as a crucial link to boost visibility and integration within the broader on-chain community.
The buzz around the Abstract chain has led to a surge in the volume of token transfers and their value, indicating a heightened movement of tokens, likely PENGU, in anticipation of the event.
The decentralized exchange (DEX) trading volume saw a peak with 113,345 trades valued at $177.2 million, signaling a resurgence in trading activity following a nine-day lull.
In early January, PENGU’s token transfers peaked at over 350,000K, while the total transfer value reached its zenith at $700 million.
Looking forward, the trading activity is expected to continue rising as the mainnet launch event draws closer; however, there remains a risk of increased volatility.
Traders are advised to exercise caution as the post-launch period could see a decline in activity if expectations are not met, potentially leading to a drop in token prices.