Korean Wallets Accumulate $32 Million in PENGU Amid Mixed Market Signals

Over the past week, three wallets linked to Korean exchanges have collectively accumulated 945 million Pudgy Penguins [PENGU], worth approximately $32 million. These wallets now hold 2.92 billion tokens—about 3.8% of PENGU’s total supply. The aggressive accumulation reflects growing interest from Korean market participants, possibly pointing to institutional or coordinated whale behavior.

Despite the Korean buying spree, overall spot netflows remained negative, suggesting broader market hesitation. At press time, data recorded a sharp outflow of $6.35 million, reinforcing a narrative of profit-taking or reduced confidence by other participants. Historically, such outflows tend to coincide with increased volatility or short-term corrections. Therefore, although Korean wallets continue to accumulate, broader investor behavior reveals caution, indicating that the bullish momentum may not be widespread or fully supported just yet.

Funding Rate data showed a significant shift in trader positioning. After months of persistently negative Funding Rates, a slight positive flip to 0.005% was registered, indicating renewed interest in long positions. This flip reflects improved sentiment, likely driven by Korean accumulation and recent bullish technical patterns. However, given the marginal rate, traders should still approach the market with caution, especially if this momentum fails to gain traction across other exchanges and timeframes.

PENGU recently surged above the $0.027 support but faced rejection at the $0.0358 resistance, aligning with the upper Bollinger Band. It traded at $0.03098 at press time, hovering between key zones. The BB rejection signaled short-term overextension, while the Directional Movement Index remained bullish, with +DI at 38.8 and -DI at 6.5. The ADX at 49.8 confirmed strong trend momentum. However, if buyers fail to flip $0.033 into support, a retest of $0.027 becomes likely. Therefore, despite strong trend signals, BB resistance and broader sell pressure could limit upside unless demand sharply increases in the near term.

On-chain metrics highlighted a possible risk buildup. The Spot Volume Bubble Map flashed “Overheating,” while the Taker CVD remained heavily “Sell Dominant.” These metrics suggest that although prices have risen, aggressive taker selling continues to dominate, likely pressuring short-term bulls. If this pattern persists without new inflows or reduced sell-side aggression, PENGU could face exhaustion. Therefore, monitoring liquidity shifts and directional flows remains key to anticipating the next move.

Korean accumulation of $32 million in PENGU signals strong conviction, but the broader market presents mixed signals. Negative netflows, persistent taker sell dominance, and overheated volume conditions suggest that bullish momentum lacks full support. However, with a strong ADX and positive DMI, the uptrend still holds potential. For the rally to continue, buyers must reclaim $0.033 and overcome current resistance. If they fail, a drop toward $0.027 remains likely. Therefore, while Korean demand provides fuel, it alone may not be enough to sustain the rally without wider market confirmation.