TLDR
- Bithumb and Upbit wallets hold 2.92 billion PENGU tokens.
- PENGU price surged nearly 100% to a six-month high.
- Open interest in PENGU futures increased from $32M to $160M.
Three wallets associated with the major South Korean exchanges Bithumb and Upbit have accumulated a significant amount of PENGU tokens. In the past week, these wallets have acquired 945 million PENGU, valued at approximately $32 million, increasing their combined holdings to 2.92 billion tokens, equating to nearly $96.73 million. This accumulation now represents about 3.8% of the total PENGU supply.
Concentration of PENGU Tokens in Key Wallets
The wallets are controlled by exchanges Bithumb and Upbit. However, there is no detailed information about the individuals or institutions behind these wallets. On-chain analyst @lookonchain commented,
“Three wallets associated with Bithumb & Upbit scooped up 945 million $PENGU (~$32M) in the past week, now holding nearly 3 billion $PENGU total.”
@lookonchain
Market Moves and PENGU Price Surge
This accumulation has coincided with a nearly 100% increase in PENGU’s price, reaching a six-month high. The rise has been driven by concentrated buying activity, along with a short squeeze effect on derivatives exchanges. On-chain data show a significant increase in trading against the Korean won (KRW), with volumes on Upbit and Bithumb surging over 50 times month-over-month.
Open interest in PENGU futures has sharply increased from $32 million to $160 million, causing heightened market volatility as short sellers faced liquidations. Currently, the wallets linked to Bithumb and Upbit control nearly 4% of the circulating PENGU supply, adding a layer of liquidity risk and potential upside.
Comparisons to Past Market Trends
This event mirrors patterns observed with other meme coins like Dogecoin and Shiba Inu following major listings in Asian markets. These listings often trigger concentrated whale buying, engaging both retail and institutional investors. They sometimes spark discussions on broader financial products, like Exchange-Traded Funds (ETFs).
PENGU is directly impacted, having seen substantial price and volume fluctuations. ETH remains a critical settlement and pairing asset, though there is no significant impact on BTC or other major altcoins currently. Broader DeFi protocols, governance tokens, and layer 1 or 2 blockchains are not immediately affected, but the increased on-chain activity may influence platforms with extensive PENGU liquidity.
Community and Institutional Reactions
Crypto key opinion leaders have yet to release extensive public commentary concerning these whale purchases. However, @lookonchain has highlighted the event on social media as part of a “bullish Korean whale accumulation.” Meanwhile, Coinbase’s engagement with the Pudgy Penguin NFTs has added to the social momentum, as seen on their official Twitter account:
Institutionally, the U.S. Securities and Exchange Commission (SEC) has received a PENGU ETF proposal from Canary Capital, fueling speculation over potential institutionalization. No new compliance directives from financial regulators addressing these whale movements have been issued.
Looking Ahead in the Cryptocurrency Market
The mood within the cryptocurrency developer and retail community is notably bullish. Participants are closely tracking whale movements and anticipating potential ETF approval and price rises. Analytical platforms continue to monitor liquidity shifts and staking behavior as these major positions are established.
The primary asset affected is PENGU, with ETH being a settlement token experiencing minor impact. Market pairs like KRW, USDT, and BTC are central on Upbit and Bithumb, reflecting the recent trading volatility.
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