- PENGU surged over 130% after breaking out of a falling wedge, signaling a bullish reversal from months of heavy downtrend.
- After consolidating near multi-month lows, PENGU flipped resistance into support, confirming renewed market strength and momentum.
- The breakout above $0.015000 with rising volume marks a major shift, setting the stage for a potential rally toward $0.025000.
PENGU has staged a powerful breakout, surging over 130% from its April lows. The recent move comes after months of heavy selling pressure and a confirmed falling wedge breakout. The current price stands at $0.013779 USDT on Bybit, marking a dramatic reversal from multi-month lows of $0.006000. Notably, the breakout was supported by rising volume, confirming strong buyer interest. Besides, the price now consolidates above the previous resistance line, which has flipped into support.
The rally follows a brutal correction that began after PENGU’s explosive January rally. During early 2025, the asset reached a peak near $0.048000 USDT. However, profit-taking and market weakness triggered a prolonged four-month downtrend. A clear descending trendline formed as PENGU fell sharply, wiping out over 87% of its peak value.
Volatility Peaks During Bottom Formation
From February to April, PENGU traded under heavy bearish pressure. Prices remained constrained beneath the descending resistance. However, during April, the coin found strong buying interest near $0.006000. This price zone acted as a multi-month support. Consequently, price action compressed and volatility declined, signaling an incoming breakout.
Source: Nihilus
Moreover, technical traders identified a falling wedge pattern forming during this phase. The wedge’s narrowing range suggested a high-probability reversal. Buyers stepped in aggressively by mid-May. The breakout above trendline resistance triggered a rapid move above $0.015000. Volume confirmed the breakout’s strength, as bullish sentiment returned.
Market Structure Turns Bullish
The structure has shifted from bearish to bullish. PENGU now trades above its long-term descending trendline. This change signals renewed strength and could invite more bullish activity. Additionally, price has continued to hold above breakout levels, consolidating gains instead of retracing.
Source: Scott
Short-term traders view the recent dip as a retest of the breakout zone. This technical setup often precedes another leg higher. Hence, many anticipate a move toward $0.025000 or higher in the coming sessions. The falling wedge breakout offers a clear bullish signal backed by market momentum.
