Analyst Says Solana-Based Memecoin Going Much Higher, Sees PENGU Facing ‘True Test’ After April Surge

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A closely followed crypto strategist believes one memecoin running on Solana (SOL) is not yet done rallying, even after posting over 60% gains this month.

Pseudonymous analyst Altcoin Sherpa tells his 245,000 followers on the social media platform X that he’s bullish on Bonk (BONK) following the altcoin’s breakout of an accumulation zone on the three-day chart.

The trader shares a chart suggesting that BONK can rally to as high as $0.0000262 after taking out its resistance at $0.0000142.

“BONK is going much higher (I have a bag). Looks good on the charts as well.

Think I’m going to add to my position if I get a small dip.”

Source: Altcoin Sherpa/X

At time of writing, BONK is trading for $0.0000182.

Turning to the native asset of the non-fungible token (NFT) project Pudgy Penguins (PENGU), the trader says the altcoin needs to print a bullish higher low setup at around $0.0065 to start reversing its multi-month downtrend. Otherwise, Altcoin Sherpa warns that PENGU may drop to as low as $0.004.

“Coins like PENGU got rekt the last several months but are showing some signs of life. The true test is going to be where the next low is and how the reaction is.

The trend is still bearish, so don’t be so quick to catch knives. That said, we could see some reversal if the environment continues to ease up.”

Source: Altcoin Sherpa/X

Based on the trader’s chart, he appears to suggest that PENGU may soar to as high as $0.014 if the altcoin manages to establish a higher low.

At time of writing, PENGU is worth $0.00985.

As for the broader altcoin market, the analyst warns that most coins are still in a high-time-frame downtrend and that the gains witnessed this month could be erased. However, Altcoin Sherpa notes that it is now within the realm of possibility for altcoins to start carving a major cycle bottom en route to a bullish reversal.

“To be clear, I’m pretty bullish overall and think that we’re going higher and the next major dip is a BUY THE DIP situation.

HOWEVER, most alts still are in bearish market structures (see TAO) and continuation of that trend is down. I think we go higher for everything, but just a careful reminder that these sh*tcoins are still in bearish trends and have made lower highs, lower lows.

I do think that we’re doing better, though.”

Source: Altcoin Sherpa/X