The Pudgy Penguins price dropped 2.32% to $0.0103 in the past day. That’s worse than the rest of the crypto market, which was mostly flat. People took profits after a big run up. The token is still up 53.59% over the last month, but selling picked up fast during this latest dip.
Trading volume jumped 57.17% to $196 million. That tells us a lot of people were selling near the high. Despite the weakness, Pudgy Penguins continues expanding its business aggressively.
The project now reaches nearly one billion daily social media views, sells products across more than 10,000 stores including Walmart and Target, and entered the SEC’s formal 19b-4 ETF review process through Canary Capital. Its NFT floor price also climbed from $9,500 to $12,900 between April 10 and May 10.
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The $40M Revenue Debate Exposes PENGU Biggest Problem
A post from crypto bot Aixbt reignited debate around the disconnect between the Pudgy Penguins business and the PENGU price. The post pointed out that the ecosystem generated $40 million in merchandise revenue, recorded 100 billion GIF impressions, launched a payment card that attracted 100,000 signups within 24 hours, and secured an ETF filing through Canary Capital.
The thread also mentioned Pudgy Penguins’ congressional testimony and its integrations with Venmo and PayPal through Paxos. Those developments would normally support strong token appreciation. Even with all of that progress, PENGU price still remains down 84% from its all-time high.
PENGU generated $40m in merchandise revenue, hit 100b GIF impressions, launched a payment card with 100k signups in 24 hours, got an ETF filing from canary capital, testified before congress, and integrated with venmo/paypal through paxos. token is down 84% from ATH.
— aixbt (@aixbt_agent) May 11, 2026
the reason…
The criticism focused on how the token works. The post argued that the ecosystem generates real business revenue, though very little of that value flows back into the token itself.There are no automatic buybacks. No system to share revenue. And no direct on-chain rewards tied to sales of merchandise or licensing deals.
That worry became clearer after a Pudgy Penguins wallet moved 137 million PENGU tokens, worth about $1.5 million, to OKX, Bybit, Gate, and Bitget on May 7. Traders interpreted the transfers as possible distribution near local highs, and the PENGU price dropped about 7% afterward. The thread compared PENGU’s estimated buyback yield against yield-bearing crypto products like Pendle PT-USDe, Ethena sUSDe, and Solana staking, all of which offer annual yields above 6%.
Pudgy Penguin Price Still Holds an Uptrend Despite the Latest Drop
We had a look at the chart and the broader structure still leans bullish despite the latest correction. The token pumped steadily from the $0.006 region in early April and later reached highs close to $0.0115 before sellers stepped in.
The latest candles show profit-taking slowing the rally near resistance. Even so, buyers continue defending higher lows across the chart. That matters because the PENGU price still trades well above its April breakout zone near $0.0085.
Momentum indicators also show the market cooling without fully turning bearish. RSI remains close to 51, which places the token inside neutral territory after spending several sessions near overbought levels. The Ultimate Oscillator also stays near 50, buyers and sellers look evenly matched for now.
The rejection near $0.0115 created the first major resistance zone traders need to watch. If buyers reclaim that area, the next upside target could appear near $0.012. Support remains close to $0.0098. A breakdown below that level could expose the $0.009 region again.
Related PENGU News: Pudgy Penguins News: From NFT Brand to Full Ecosystem – What Comes Next for PENGU Price?
What Is Pushing the PENGU Price Presently?
One key driver remains the Canary Capital ETF filing. The proposed PENGU ETF entered the SEC’s formal 19b-4 review process in June 2025. Approval would create the first U.S. ETF holding both a memecoin and NFTs. That possibility keeps institutional interest alive because Bitcoin and Dogecoin ETF developments previously triggered strong inflows across their markets.
The Pudgy Penguins brand expansion also continues supporting sentiment around the ecosystem. The company now records about one billion daily social views and sells products across more than 10,000 retail stores globally. PENGU also powers transactions inside Pudgy World, giving the token direct utility beyond speculation.
Also, meme coin volatility still creates heavy short-term swings. The broader meme coin Mania Index remains near 80%, showing speculative conditions across the sector. That environment often pushes memecoins higher during bullish rotations, though corrections also become deeper once traders begin locking profits.
Another catalyst traders are watching is the Las Vegas Licensing Expo scheduled for May 19 to 21. Pudgy Penguins will attend the event for the third consecutive year as the team looks for new merchandise and media partnerships. CEO Luca Netz also confirmed a new execution-focused strategy for 2026 aimed at turning the ecosystem into a billion-dollar consumer brand through retail, gaming, and verified IP expansion.
However, the PENGU price weakness does not come from a lack of business activity. Pudgy Penguins continues expanding aggressively through retail partnerships, ETF progress, gaming integrations, and licensing deals. The biggest problem is still how value flows back to the token, since traders still see limited direct value flowing from ecosystem revenue back into the token itself.
Even so, the bigger picture on the chart still looks okay after a 53% gain in a month. If buyers defend support near $0.0098 and the mood turns better again, the Pudgy Penguin price could try to move back toward the $0.0115 resistance zone in the coming days.
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