TLDR
- Pudgy Penguins (PENGU) rebounded 59% after the market crash, recovering from a drop to $0.005
- Smart Money inflows increased by 6.3 times the average, while exchange supply dropped 8.78% as whales accumulated tokens during the price dip.
- Open Interest recovered to $160.27 million with trading volume reaching $1.07 billion, showing renewed market interest.
- The key support level sits at $0.023, and if it holds, analysts see potential for a move toward $0.040 or even $0.13.
- Top holders increased their positions by 3.2% during the crash and long liquidations hit $52 million, historically a setup for bullish rebounds.
Pudgy Penguins (PENGU) climbed 59% at the start of the week after one of the sharpest drops in the memecoin sector. The token bounced from crash lows of $0.005 and now trades near $0.026.
The recovery comes as part of a broader altcoin rebound following Friday’s market chaos. Many traders called the event a black swan, while others pointed to possible manipulation.
PENGU quarterly returns now sit at negative 7% for Q4. The second and third quarters delivered gains of 171.7% and 88.5% respectively.
The token tested a low of $0.005 during the crash before reclaiming ground above $0.025. Price action stayed below the $0.028 to $0.040 range that previously held as support.
On the three-hour chart, Bollinger Bands widened during the crash then narrowed as volatility decreased. Price moved back above the mid-band, an early signal of recovery.
The Chaikin Money Flow reading stood at 0.01, showing capital flowing into the token. The MACD indicator turned bullish after a crossover.
On-Chain Data Shows Accumulation
Smart Money inflows jumped 6.3 times above average levels. Whales continued buying after the crash to take advantage of lower prices.
Exchange data showed net outflows as tokens moved off platforms. About 8.78% of supply held on exchanges was withdrawn in the past 24 hours.
Top holders increased their positions by 3.2% during the crash period. These wallets did not sell during the downturn and instead added to their holdings.
Trading volume reached $1.07 billion in the 24-hour period. Open Interest recovered to $160.27 million after dropping from a high of $342 million down to $134 million.
Long liquidations totaled $52 million during the crash. Historical patterns show that large liquidation events often precede price rallies.
The August 5 crash led to the rally seen in late 2024, following a similar liquidation reset. The current setup shares characteristics with that previous pattern.
Technical Levels and Structure
The weekly chart shows PENGU formed a downward-sloping channel after June’s rally. Price tested the lower boundary at $0.023 during Friday’s crash.
What happened on Friday was far from normal. Some call it a black swan; others call it extreme manipulation.
Most charts now show insane wicks to the downside, but strip out the noise and you’ll see $PENGU holding structure.
If $0.023 holds, a breakout to $0.13 is in play. pic.twitter.com/eQlbH0IzRU
— Ali (@ali_charts) October 13, 2025
The token bounced from that support level without breaking the channel structure. Analyst Ali Martinez identified $0.023 as the critical support to watch.
If that level holds, the next targets sit at $0.040 and potentially $0.046. Martinez suggested a breakout could push price toward $0.13 based on the previous rally’s height.
A break below $0.023 would invalidate the current structure. The next support level would be around $0.017 if the token loses $0.023.
PENGU needs to reclaim the $0.030 region to confirm the recovery. That would open the path toward retesting $0.040 in the near term.
The pattern shows a controlled pullback after June’s strong rally. The structure remained intact despite Friday’s volatility.
Most altcoins broke their technical patterns during the flash crash. PENGU held its support level, showing relative strength compared to the broader market.
The token currently trades within its established channel. Price action in the coming days will determine if the recovery continues or if another test of support occurs.
