Pudgy Penguins (PENGU) has shown a steep rebound, and analysts now assess that the token has entered a technically significant resistance zone. This time, rather than the size of the rally itself, the key variable that will determine the future direction is how closely the Elliott Wave structure follows the previously outlined path.

[Elliott Wave Scenario "Still Valid"]

Kirsanov Trade, active in the CoinMarketCap community, said on the 22nd that the existing Elliott Wave scenario for Pudgy Penguins remains valid. He emphasized that the recent movement is not merely a price increase, but largely follows the technical structure he had previously set out.

The base scenario presented by Kirsanov Trade is a 'five-wave decline followed by an ABC correction' structure. His analysis is that the ongoing rebound may correspond to the B wave within that ABC correction process.

[B Wave Rebound Underway... 0.618 Fibonacci Resistance Reached]

Specifically, he explained that PENGU started from around $0.0057–$0.0060, which he had identified as the B wave starting zone, and rose to the $0.0084–$0.0095 range. Calculated from the low of $0.0057, the price rose about 66.7% to the high of $0.0095, which is broadly in line with the roughly 68% gain mentioned in his post.

Notably, during this rebound the price reached the 0.618 Fibonacci retracement resistance zone. Kirsanov Trade had previously set that level as a potential B wave completion zone in his earlier analysis, and added that a price reaction recently appeared around $0.00945.

[A Divergent Interpretation at the Turning Point... $0.0094–$0.0095 Is Key]

However, in Elliott Wave analysis, the start and end points of waves can differ depending on interpretation. Whether the current rise is actually the B wave or part of a new uptrend must be confirmed through subsequent price movements.

For Kirsanov Trade's scenario to hold, it is important whether selling pressure emerges in earnest around $0.0094–$0.0095. If that resistance band is decisively broken, the existing B wave completion scenario may need revision. Conversely, if the price fails to overcome the resistance and is pushed back down, the technical interpretation of the ABC correction structure could regain strength.

[NFT and Meme Coin Characteristics... Sensitive to Supply and Demand]

Pudgy Penguins is a token linked to the Pudgy Penguins NFT project ecosystem, combining the characteristics of both meme coins and NFT-related assets. Accordingly, it can react sensitively not only to overall market risk appetite but also to NFT market sentiment and community supply and demand.

Ultimately, in the short term, the key variables determining future direction are: ▲ whether the price can break back above the recent high around $0.0094–$0.0095, and ▲ whether buying support holds around the $0.008 level. However, specific price levels are merely reference zones for technical analysis and do not guarantee future price movements.

[This article was written with AI assistance. This article is not intended to encourage virtual asset investment. Elliott Wave and Fibonacci analysis results may vary depending on the analyst's criteria and market conditions. Virtual assets are highly volatile and carry the risk of principal loss, so please check the latest prices and market conditions directly before investing.]