Pudgy Penguins (PENGU) faces pressure amid a surge in interest in NFTs (non-fungible tokens). This move could pull capital away from the trending meme coin, potentially influencing its price.
Meanwhile, investors hope for a PENGU ETF (exchange-traded fund) following Canary Capital’s March filing.
PENGU Faces New Competition as NFT Tokens Attract Growing Investment
Pudgy Penguins meme coin has been the center of attention for months, since Canary Capital filed for a PENGU ETF. Hype around the PENGU meme coin invigorated in late June, following Justin Sun’s move to join the huddle.
Sponsored
Amidst the frenzy and hopes for a PENGU ETF, the token soared, with analysts projecting even more gains. However, the optimism may no longer be sustainable amid renewed interest in NFT tokens.
Over the weekend, Ethereum ignited renewed interest in non-fungible tokens, unveiling the NFT Torch ahead of its 10th anniversary. With it came a frenzy of NFT buying, with a single wallet scooping 48 CryptoPunk NFTs for $8.5 million.
Analysts also noted an acceleration in the purchases, causing a surge in the CryptoPunk NFT floor price. According to Shotgun, a popular user on X (Twitter), whales are showing conviction with legacy collections outperforming, suggesting the market may be rotating back to quality NFTs.
Legacy NFT projects are getting heavy buys and pumps. According to data on Artemis, the NFT sector is already outperforming the broader market, rising by over 200% in the last month. Notably, the NFT sector has more than tripled the Ethereum market.
Despite the euphoria around PENGU and Pudgy Penguins NFTs, CryptoPunks are leading the sector in market capitalization metrics.
Sponsored
However, on 24-hour sales metrics, BAYC (Bored Ape Yacht Club) and Mutant Ape Yacht Club face stiff competition.
Capital Flows Signal Appetite for Other NFT Projects Beyond PENGU
Analysts are looking for PENGU-like opportunities, with ANIME as a prospective choice. Tommy, a trader and popular user on X, highlights ANIME as the best liquid NFT beta after the token bottomed out recently.
Sponsored
The interest in the ANIME token may be ascribed to Animecoin’s recent announcement involving a Burger King and Naruto collaboration coming to the US.
“Starting July 21, fans can grab a limited-edition King Jr. Meal with exclusive Naruto character toys. American companies are waking up: adopt anime or be left behind,” Animecoin shared in a post.
While Animecoin does not have any direct affiliations with either party in the prospective partnership, it may be leveraging Burger King and Naruto to target anime fans.
Meanwhile, other analysts have also highlighted DOOD as a possible next PENGU. Despite no ETF prospects for the DOOD coin, which is associated with the Doodles NFT project, analysts say it also has strong fundamentals.
“PENGU’s at $2B+ market cap, but DOOD’s $32M FDV is a hidden gem with big upside,” one user said in a post.
Notably, both DOOD and PENGU are Solana meme coins. PENGU benefits from the ETF buzz and whale buys. It also has a supply of 76.7 billion. On the other hand, its RSI (Relative Strength Index) above 80 suggests the token may be overbought.
Sponsored
Meanwhile, DOOD’s smaller supply of 10 billion could mean bigger price potential, with its RSI suggesting still more room for further upside.
“DOOD’s low FDV makes it undervalued vs PENGU. Doodles’ NFT brand has strong vibes. If Doodles drops partnerships or listings, DOOD could 10x from its $300M FDV potential. DOOD’s edge: tiny supply, strong community, & untapped potential. If it follows $PENGU’ IP meta, it’s a moonshot,” the trader added.
Another NFT trader highlighted that Doodles NFT outperformed the DOOD token, which could bode well for the meme coin’s price.
“Every time it was the token moving and the NFTs following, be it the ANIME coin, PENGU etc.,” they stated.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.