The post PENGU shows signs of life after $70 mln outflows – Bulls working overtime? appeared on BitcoinEthereumNews.com.

Key Takeaways A $70 million liquidity drain slashed PENGU’s gains, but Funding Rates stayed positive. Conflicting signals leave traders questioning whether bearish pressure is fading or not. Liquidity outflow in the market led Pudgy Penguins [PENGU] to lose more than 9% in 24 hours, cutting its monthly performance to 23% as of press time. Still, analysis showed signs of growing bullish activity, which could overturn the bearish outflow and position PENGU for a new high. Liquidity scarcity forces PENGU lower The drop in PENGU’s price was closely tied to liquidity leaving the market. In just one day, the outflow reached roughly $70 million, while Open Interest on CoinGlass fell to $332.66 million. This decline indicated that both long and short traders are pulling back from the market. Long traders closed more positions than shorts, with liquidations on the long side notably higher in the past day. Source: CoinGlass At the same time, the Funding Rate dropped sharply. To be detailed, the OI-Weighted Funding Rate fell from 0.0265% to 0.0063% — confirming that many long traders are no longer active. Despite the outflow, the OI-Weighted Funding Rate remained in positive territory, signaling that bullish interest is still present in the market. Buyers stayed active despite pressure CoinGlass Spot Exchange Netflow showed investors were still actively buying. In the past 72 hours, investors purchased over $14.5 million worth of PENGU and moved assets into private wallets. This trend suggested fewer tokens were available on exchanges for potential sell-offs. Source: TradingView On the chart, PENGU is approaching a key support level within a bullish triangle pattern, creating the potential for a rebound. In fact, the chart structure indicated a possible minor drop before a rebound. Drop-to-rally setup confirmed Technical indicators confirm this sentiment. The Chaikin Money Flow (CMF) highlights a gradual increase in…

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Filed under: News - @ August 25, 2025 12:29 pm