Pudgy Penguins’ PENGU token is coming under renewed selling pressure as traders pull back from memecoins. The token fell about 7.5% over the past 24 hours, while trading activity remained below its recent average.
The decline does not appear to be linked to a major exploit, token unlock, exchange listing, or project-specific announcement. Instead, weakness across the broader memecoin market appears to be weighing on PENGU. The drop has also pushed the token below a nearby support level, putting traders on alert for its next move.
PENGU Declines as Memecoin Selling Spreads
PENGU dropped between 7.3% and 7.5% over the last day, with spot trading volume reaching approximately $168.39 million. Its seven-day average volume sits around $230 million, meaning current activity is roughly 73% of its recent norm.
$PENGU The Whole World Is Talking About This Penguin 🐧
Pudgy Penguins is printing a textbook bullish flag on the daily chart after a 75% surge, and the setup is pointing toward another explosive leg up.
In the last 30 days alone: 495 billion in mindshare, Robinhood listing,… pic.twitter.com/FjEtiKHh2T
— Lana Valentis (@LanaValentis) September 8, 2026
The relatively subdued volume suggests the decline has not been accompanied by a major panic-selling event. However, the weekly performance remains weak, with PENGU down roughly 17.6%.
The wider crypto market has also moved lower. Total market capitalization declined about 2.3% over 24 hours, while altcoins collectively lost around 1.4%. PENGU’s decline is therefore considerably larger than the average altcoin move, pointing to additional selling pressure within memecoins and NFT-related assets.
Other popular meme tokens, including BONK and FARTCOIN, have also faced selling pressure. This may indicate that traders are reducing exposure to higher-risk assets and moving capital toward more defensive parts of the market.
Technical Breakdown Puts Support in Focus
PENGU’s technical structure has weakened alongside the price decline.
On the one-hour chart, the token closed near $0.007467, below a previous pivot low around $0.007983. Price also remained beneath several exponential moving averages and VWAP, indicating that short-term momentum is still tilted toward sellers.
The relative strength index was around 33, showing significant selling pressure without yet reaching deeply oversold conditions. That leaves the possibility of additional downside if sellers remain in control.
There was also no major surge in trading volume during the breakdown. This provides little evidence of a strong external catalyst behind the move and suggests that the loss of local support may have contributed to the selling.
With support now broken, stop-loss orders and short positions could add to downward pressure.
For PENGU to stabilize, buyers would likely need to reclaim the broken support area and rebuild momentum. A sustained move back above the previous pivot could improve short-term sentiment, while further selling could bring lower support levels into focus.
