PENGU Memecoin in Freefall—Three Ways to Stop the Bleeding

Another day, another memecoin crisis—this time it’s PENGU’s turn to face the music. After a brutal sell-off, retail bag-holders are scrambling for answers. Here’s how this flightless bird might avoid extinction.

1. Liquidity Injection (Or: Throw Good Money After Bad)

Desperate devs could pump fresh capital into liquidity pools—temporarily propping up the price while hoping greater fools rush in. Classic crypto maneuver.

2. Exchange Listings (The ’Get Out of Jail Free’ Card)

A top-tier CEX listing could spark artificial demand. Never mind that exchanges take 30% cuts—when has self-interest ever stopped crypto’s hype cycles?

3. Utility Fabrication (Because ’Community’ Wasn’t Enough)

Suddenly announcing NFTs or a ’play-to-earn’ game might buy time. Just don’t ask how a penguin-themed token justifies a $100M valuation.

Let’s be real—none of this fixes the core issue. Memecoins rise on viral madness and crash on cold math. But hey, at least the ride’s entertaining (if you’re not holding bags).

High momentum, low liquidity — How it impacts PENGU

PENGU’s recent decline appears to be a coordinated effort, as the momentum behind the sell-off is high.

High momentum is determined by trading volume. A rising volume implies that momentum is strong.

Over the past 24 hours, trading volume, according to Coinglass, has risen by 63.39% to $177.90 million.

Historically, when an asset declines and volume increases, it suggests that selling pressure is likely to continue and that the asset may keep falling.

With this sentiment, PENGU’s potential for a continued downward movement remains high. But there’s more to the story.

AMBCrypto could LINK this decline to the broader performance of the memecoin sector.

Source: Artemis

According to Artemis, the memecoin market continues to underperform, recording massive liquidity outflows.

Until the time of writing, its past month performance showed a 9.1% increase, placing it among the top 10 performing ecosystems.

However, in the past 24 hours, it ranked among the bottom 10 performing ecosystems after recording a 5.2% decline.

A continued outflow like this indicates a high potential for the asset’s price to MOVE downward.

Will buybacks pull PENGU from the fall?

Amid this notable market decline, some buyers have stepped in. The spot market shows more buying than selling in the past three days.

Over the past week, total trades were net positive for PENGU, with $2.89 million of the asset accumulated from the market, despite the potential for further declines.

Source: CoinGlass

What’s more, PENGU now trades at a key support level, precisely at $0.010865. Typically, this triggers buying activity, as unfulfilled buy orders lie at this level.

If it does, it could mark a major step toward a rally. Still, the asset faces a descending resistance line, marked by dashes. Otherwise, it could continue to decline.

Source: TradingView

Strong upward potential

Using the liquidation heat map, data shows that PENGU has a higher chance of making a major upward move.

Currently, high levels of liquidity clusters are found NEAR the top of the chart around $0.012. Typically, price tends to be attracted to levels with such liquidity concentrations.

Source: CoinGlass

If this path holds, it WOULD support the other bullish indicators — increased spot purchases and the key support level.