The Pudgy Penguins token rose sharply on Sunday as its non-fungible tokens sales rose by almost 70%.
Pudgy Penguins (PENGU) price jumped by almost 17%, making it one of the best-performing cryptocurrencies.
According to CryptoSlam, Pudgy Penguin’s sales rose by 68% on Jan. 5, making them the second-best performing NFTs after Guild of Guardians Heroes. The number of transactions rose by 85% to 13.
As a result, the total sales of the NFT project rose to over $545 million, making it one of the most successful collections in the industry. All sales transactions rose to over 62,500, while all owners rose to 5,004.
Pudgy Penguins’ sales rose by over 261% in the last 30 days to $104 million, possibly because of the PENGU airdrop, which happened on Dec. 17.
Still, it is not clear whether the upward momentum will continue for Pudgy Penguins. Data shows its sales dropped by double digits in the last seven days.
Historically, many NFTs tend to lose momentum after a while. For example, once-popular NFT collections like Bored Ape Yacht Club and Mutant Ape Yacht Club have seen their floor prices crash in the past few months.
Their sales have dwindled, with BAYC’s sales falling by 41% in the last 30 days. ApeCoin (APE), the token created by Yuga Labs, has also crashed by over 95% from its all-time high.
PENGU price has formed a double-top
The two-hour chart shows that the Pengu token has been in a steady uptrend after bottoming at $0.02286 in December. It has formed a series of higher highs and higher lows, and an ascending trendline that connects the lowest swings since Dec. 20.
Pengu has also moved slightly above the key resistance level at $0.04080, its highest swing on Jan. 2 and invalidating that double-top pattern.
The Pudgy Penguins token has now hit a key resistance at $0.0433, where it has formed another double-top pattern whose neckline is at $0.030. A double-top is one of the riskiest patterns in the market.
Therefore, there is a risk that the Pengu price will suffer a big reversal unless it moves above the resistance at $0.043. On the positive side, a move above that level will raise the chances of the token hitting its all-time high of $0.04600.
