Peanut the Squirrel (PNUT) Gains Bullish Momentum Amid Rapid Holders Growth: What's Ahead?

Date: Wed, Nov 06, 2024, 00:44 AM IST

In the cryptocurrency market today, Peanut the Squirrel (PNUT), one of the recently listed trending memecoins on the Solana ecosystem which was launched on November 2, has witnessed an astronomical surge in trading activity. PNUT has surged by a massive 90% in the last 24 hours alone, with its market cap skyrocketing to over $72 million in less than four days.

Source: Coinmarketcap

The major factor driving this rally can be attributed to its rising holders count. According to live data from Holderscan, PNUT experienced substantial growth in its holder base, adding 4,533 holders in the past 24 hours, representing over 16% of its current total holders of 32,819.

Source: Holderscan

Additionally, the price growth was initially influenced by a tweet from Tesla CEO Elon Musk, who responded to the tragic news of a beloved squirrel's death in New York's Department of Environmental Conservation custody, sparking interest and engagement in the coin.

Technical Analysis

From a technical perspective, PNUT is currently exhibiting signs of a bullish momentum buildup, with a strong potential for further upside.

Descending Triangle Pattern: The price action on the chart shows a descending triangle pattern. This pattern is typically bearish, but if PNUT breaks above the upper trendline, it could signal a trend reversal, leading to a bullish breakout. The breakout level is around $0.0800, a critical resistance point to watch.

Key Resistance Levels: If PNUT successfully breaks out of the triangle, the next target could be around $0.085, followed by the major resistance level at $0.13. A move beyond these levels would confirm strong bullish momentum and could push the price to new highs.

Support Levels: On the downside, the immediate support level is marked around $0.063. If the price fails to break above the upper trendline and moves down, it may test this support level. A breakdown below this zone could signal further consolidation or a short-term bearish move.

Relative Strength Index (RSI): The RSI indicator currently hovers around 67.7, close to the overbought region. While this suggests potential buyer exhaustion, a strong breakout could lead to sustained buying pressure, pushing RSI into an overbought state as bullish sentiment intensifies.

Potential Scenarios:

• Bullish Scenario: A breakout above $0.0800 could trigger increased buying interest, driving the price towards $0.085 and potentially up to $0.1300. Increased volume in this move would signal strong investor confidence in PNUT's upward trajectory.
• Bearish Scenario: If PNUT fails to break above the upper trendline and dips below $0.063, it could enter a consolidation phase or test lower support zones.

Outlook

Given PNUT’s rapid growth in holders and strong community support, the current momentum appears favorable for further gains. However, traders should closely monitor key resistance and support levels, along with the overall market sentiment in the crypto space. The involvement of influential personalities like Elon Musk can continue to impact sentiment, but external market factors and overall crypto volatility will also play a role in PNUT's price movement.

Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.

Also Read: Is Shiba Inu (SHIB) Following in Dogecoin’s Footsteps? Here’s What You Should Know.