The Pudgy Penguins token, PENGU, has caught fire in recent weeks, posting a strong bullish trend that has so far withstood short-term volatility. Since the ETF-inspired surge on June 28, PENGU has continued to climb, challenging its May resistance at $0.015. With momentum indicators flashing green and trading volume surging, the question on every trader’s mind is whether to buy now — or wait for a better price.

The short answer? It might be best to wait for a dip.

Despite strong capital inflows and positive technicals, the next key support zone between $0.012 and $0.013 could be the sweet spot for a more favorable entry. This zone, which aligns with a Fair Value Gap (FVG) on the daily chart, may provide a strong foundation for the next leg up if tested. A 20% dip from current levels could push PENGU right into this demand zone — a potential gift for patient bulls.

Why the Trend Remains Bullish

At press time, PENGU’s market structure remains firmly bullish. The break above the $0.0125 local high confirms upward momentum, and so far, higher lows continue to form. This suggests that the uptrend is still intact, and recent price action is more of a cooling-off period than a reversal.

The Awesome Oscillator (AO) has also crossed above the zero line, indicating that bullish momentum is still in play. This upward shift in momentum, coupled with high demand, reinforces the idea that the token has more room to run — though not without possible turbulence in the short term.

The Chaikin Money Flow (CMF) indicator has been especially telling. A CMF reading above +0.05 typically signals healthy capital inflows into an asset. For PENGU, that reading recently shot up to +0.21 — a strong indication that investors are pouring liquidity into the project. This is further supported by the Accumulation/Distribution (A/D) line, which has also been trending upward, confirming heightened buying pressure.

Volume Up, But So Is Volatility

High demand is a clear bullish sign, but it’s coming with a side of increased volatility. Since last Friday, daily trading volumes have surged, yet the price candles on the chart tell a different story. The long upper and lower wicks on these candles suggest that buyers and sellers are battling over control — and neither side is in full command yet.

This kind of price action often hints at uncertainty and can signal upcoming liquidity-driven moves, especially on lower timeframes. PENGU’s recent price swings show that short-term moves may be more about liquidating traders on both sides than following pure market direction.

What the Liquidation Heatmap Reveals

Looking at the liquidation heatmap from Coinglass, we can see a classic liquidity hunt at play. On Tuesday, the price surged to $0.0157, clearing out a cluster of leveraged short positions. Almost immediately after, the price dropped sharply to $0.0138, grabbing liquidity from long positions. These opposing moves show that liquidity clusters are dictating price, not fundamentals.

This reinforces the argument for waiting. The $0.012 to $0.013 zone, identified earlier as a Fair Value Gap, is now emerging as a “magnetic zone” — a price range that attracts both buyers and sellers due to its recent trading history and liquidity concentration. A dip into this area could reset the market, allowing bulls to regain strength and push toward the $0.016 level again.

Final Take: Wait, Then Ride the Next Wave

While the overall trend for PENGU is clearly bullish, entering right now may expose traders to heightened volatility and unfavorable risk-reward conditions. A 20% pullback could offer a far better setup — especially if the price retests the $0.012–$0.013 support range and confirms it as a base for the next rally.

For traders looking to enter, patience could pay off. Let the market come to you. With capital inflows high and technical support aligning with liquidity levels, the next big move might come from this key demand zone — and that could be the entry point smart traders are watching for.