Pudgy Penguins Price News: PENGU Could More Than Double After SEC ETF Acknowledgment

Pugdy Penguins (PENGU) has gone up by 71% in the past 30 days and has surpassed dogwifhat (WIF) in market cap at $1.24 billion after Canary Capital is one step closer to getting a PENGU exchange-traded fund (ETF) listed.

Just a few hours ago, the U.S. Securities and Exchange Commission (SEC) acknowledged the firm’s paperwork and is now reviewing Canary’s prospectus for what could be the first meme coin-linked ETF to hit the trading floor.

Last month, the Pudgy Penguins mascot shared the stage with the asset management firm VanEck to ring the opening bell at the Nasdaq Exchange – a symbolic act that may have marked the beginning of a new era for this segment of the crypto market.

SEC Acknowledgment of Canary Capital’s PENGU ETF Application – Source: SEC.gov

Bitwise and 21Shares have also filed the required paperwork to list a Dogecoin (DOGE) ETF but have not made the same progress as Canary.

This latest spike for PENGU marks a significant shift in the market’s sentiment toward this meme coin. At some point this year, it registered year-to-date losses of more than 80%.

PENGU has jumped by 34% in the past 24 hours following news of the SEC’s acknowledgment while trading volumes have shot up by an eye-popping 473% during this period and currently account for 80% of the token’s circulating market cap.

PENGU’s Trading Volumes in the Futures Market Are Dropping

In the futures market, PENGU’s short liquidations are already nearing this year’s record of $4.2 million – a high amount for such a niche token. Meanwhile, open interest (OI) has surged from an average of $50 – $70 million to nearly $250 million recently after this ETF hype.

However, trading volumes in the futures market have been declining lately, moving from a peak of around $2 billion on June 28 to $510 million as of yesterday. This may indicate that traders are positioning for a correction after this relentless rally.

PENGU/USD Weekly Chart (Crypto.com) – Source: TradingView

Looking at the weekly chart, we can see that PENGU has broken a key resistance at around $0.0175. Since this is a high time frame, the implications of this bullish breakout could be significant for the token’s future performance.

If PENGU outpaces Dogecoin in the race to list the first meme coin ETF in the U.S., this could have massive implications for its brand and credibility in the crypto market.

Meme coins depend on community support, social media presence, and branding efforts to thrive. Pudgy Penguins possesses all of these features as the project is linked to what is also one of the few non-fungible token (NFT) collections in the crypto industry.

Can PENGU Become the King of Meme Coin Land?

Can Pudgy Penguins eventually dethrone Dogecoin as the king of the meme coin category? Its price would have to rise by 22 times for that to happen.

Seems a bit far-fetched to think that much ahead but it is certainly possible if investors start to concentrate the capital in a handful of well-established tokens with robust communities rather than trying to snipe the most promising newcomer.

What is also true is that PENGU’s success could lift the price of both Solana (SOL) and other Solana-based meme coins. Higher demand for this token will result in higher transaction volumes on the Solana blockchain as well.

The nearest liquidity-rich target for PENGU in the weekly chart is the $0.047 level. This means a 147% upside potential based on today’s price.

Can it get there? The approval of an ETF can definitely jump-start a rally of that magnitude. It would not be the first time that a relatively niche meme coin reaches a market cap of more than $2 billion in a relatively short period (e.g., Pepe).

At some point, PENGU’s market cap reached $2.8 billion. So it can definitely retest that area if positive momentum picks up following a green light from the SEC.