Pudgy Penguins (PENGU) Retesting Key Bullish Breakout – Will It Bounce Back?

Date: Tue, Sept 16, 2025 | 07:10 AM GMT The cryptocurrency market is witnessing slight volatility ahead of the US Federal Reserve meeting this week, with Bitcoin (BTC) and Ethereum (ETH) both trading in red. This overall weakness has spilled into several altcoins — including Pudgy Penguins (PENGU). $PENGU is down nearly 5% today, trimming some of its recent gains. However, beneath the short-term weakness, the chart shows a much more important signal: the token is currently retesting a textbook breakout, and the outcome of this retest could decide its next major move.

Source: Coinmarketcap Retesting Bullish Pennant Breakout For weeks, PENGU was trading inside a bullish pennant formation, a continuation pattern that often sets the stage for the next leg higher. After repeatedly defending its base near $0.02756, the token finally surged through the pennant’s descending resistance line, confirming a breakout around $0.03350. That move carried PENGU as high as $0.03816, its recent local top.

Pudgy Penguins (PENGU) Daily Chart/Coinsprobe (Source: Tradingview) However, as is common after breakouts, the price has since pulled back to retest the breakout zone, now hovering around $0.03292, where fresh buying interest has started to appear. What’s Next for PENGU? The current retest looks healthy but is still in its early phase. For bulls to regain full control, buyers must hold the trendline support and ideally push the price back toward the $0.03816 local high. A decisive breakout above that level could act as the trigger for a larger rally. According to the breakout projection, PENGU could climb toward the $0.049 zone, marking nearly a 48% upside from current levels. On the flip side, if PENGU fails to hold the breakout trendline, it risks falling back inside the pennant — which would raise the possibility of a fake breakout and delay the bullish outlook. Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.