The Pudgy Penguins (PENGU) token has experienced a sharp rebound, climbing by over 52% in the past week after breaching a critical resistance level and amid a renewed surge in NFT sales. On Saturday, June 28, PENGU touched $0.01450, its highest point since May 23, marking a 232% increase from its lowest point this year.

The token’s rally was fueled by strong data from CryptoSlam, which showed that Pudgy Penguins NFT sales rose by 38% to reach $1.5 million over the past seven days. This growth was accompanied by a 36% increase in transactions, with the number of buyers and sellers rising 48% and 32% respectively. Despite the monthly sales slipping by 33% to $5.6 million, Pudgy Penguins still managed to secure the 10th spot among NFT collections, trailing behind projects like CryptoPunks and Gods Unchained.

Adding to the bullish momentum, the PENGU token supply decreased from 15.6 billion on June 12 to 14.7 billion, indicating a substantial drop in exchange reserves. Lower token availability on exchanges often signals that investors are accumulating rather than selling. In fact, whale holdings surged 13% to 1.89 billion tokens in the past 30 days, while public figure holdings increased 5.6% to 301.7 million, further supporting the token’s upward trajectory.

On the technical side, PENGU’s daily chart reveals a breakout from a descending channel pattern, which had persisted since May 14. The price has now moved above the channel’s upper limit and the 25-period Exponential Moving Average (EMA). Moreover, the Percentage Price Oscillator (PPO) has crossed above the zero line, signaling increasing bullish momentum.

Market analysts believe the PENGU token could continue its rally if it manages to breach the next key resistance level at $0.01742, the high from May 12. However, a drop below the $0.0100 support zone could invalidate the current bullish setup.

With increased investor confidence, rising demand for NFTs, and strong whale accumulation, Pudgy Penguins appears poised for further upside — a promising sign for both token holders and the broader NFT ecosystem.