Pudgy Penguins (CRYPTO: PENGU) fell 7% Wednesday after parent company Igloo Inc. announced it’s shutting down its Abstract blockchain.
Why Igloo Is Walking Away From Abstract
Igloo Inc. CEO Luca Netz posted on X Wednesday that Abstract is winding down, shifting the company’s full focus back to Pudgy Penguins, Pudgy NFTs and PENGU.
Igloo had acquired Frame in summer 2024 to build a blockchain for consumer crypto, hoping to bring the same mass appeal Pudgy Penguins found in NFTs.
Abstract did deliver real infrastructure along the way:
- Launched the Portal and AGW
- Onboarded major global brands
- Processed over 300 million transactions
Even with that progress, the chain never found its footing. Thin DeFi activity, weak liquidity, little institutional interest, and high costs made it impossible to sustain growth in the areas that were actually working.
Netz revealed that Igloo had quietly funded Abstract for 18 months, losing tens of millions of dollars in the process.
Rather than launch a token or run an ICO to raise fresh capital, the company chose to shut the project down instead.
His reasoning: a token only works when real demand backs it, and launching one without genuine conviction would have shortchanged the community that supported Abstract.
How PENGU, DOGE, SHIB Charts Reacted
PENGU pulled back sharply from its $0.0107 high, breaking below its 20-day EMA at $0.00911.
The Parabolic SAR flipped bearish, signaling a near-term loss of momentum, though price still holds above its 50-day and 200-day EMAs, keeping the broader recovery structure intact since August’s reversal off multi-month lows.
Shiba Inu (CRYPTO: SHIB) dropped 7%, rejecting near $0.0000063 and breaking below its 20-day EMA, now testing trendline support from July’s lows.
Separately, SHIB’s burn rate dropped 100% over the past 24 hours, meaning no tokens were destroyed during that stretch, a sharp reversal from the elevated burn activity seen in recent weeks.
Meanwhile, Dogecoin (CRYPTO: DOGE) fell 6%, similarly rejecting near its $0.106 high and slipping below its 20-day EMA.
Both tokens show fading momentum on RSI, though both remain above their rising trendlines for now.
Key Levels to Watch for DOGE, SHIB, PENGU
- PENGU: Resistance at $0.00911, then $0.0107. Support at $0.00852, then $0.00802.
- SHIB: Resistance at $0.0000057, then $0.0000063. Support near its rising trendline around $0.0000050.
- DOGE: Resistance at $0.0925, then $0.106. Support at $0.082.
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