PENGU Token Price Drop – Reasons are as follows!

$PENGU

The highly anticipated PENGU token (listed on Binance) has undergone a significant price adjustment, and here’s what’s happening behind the scenes:

1️. Drip.Haus Airdrop Sell-off

Currently, the PENGU token is in the phase where early supporters are claiming through the airdrop distribution platform Drip.Haus. Many recipients immediately sold their tokens, leading to significant selling pressure. This is common during the early airdrop when users seek quick profits.

2️. Profit Taking After Binance Listing

The Binance listing triggered initial hype and a price surge, but short-term traders quickly took profits. This rapid sell-off is common after major token releases, especially for projects with strong community hype.

3️. Market Sentiment and Liquidity Challenges

The overall market remains unstable, and PENGU’s price movement is also affected by the overall volatility in the meme coin sector. Limited liquidity and concentrated token holders lead to more severe price fluctuations than usual.

4️. High Initial Supply

The circulating supply of PENGU is already quite substantial (over 70% of the total supply), which means scarcity is reduced, allowing more users to sell their held tokens. This can affect price stability in the short term.

What should you do?

📌 Stay Calm: Market adjustments are normal after a new coin is launched. After airdrop recipients sell tokens, the market will eventually stabilize as supply stabilizes.

📌 Monitor Key Support Levels: If you believe in the long-term value of PENGU, keep an eye on potential entry points in key support areas.

📌 Understand the Fundamentals: The Pudgy Penguins ecosystem has a loyal community and plans to expand to Ethereum and Abstract Network, which may drive future utility and adoption.

What’s next for PENGU?

Once the airdrop subscription phase ends and selling pressure decreases, we may see consolidation followed by gradual increases. Stay tuned for future announcements and ecosystem developments to understand potential catalysts.

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