PENGU Soars by 18% Post ETF Filing Following a Major Shift in Market Sentiment

Canary Capital Seeks SEC Approval for the First PENGU ETF

Since the approval of Ethereum Spot ETFs in 2024, various altcoins have also ventured into the ETF space. Particularly in the last four months, especially following President Trump’s re-election, stakeholders have been eager to file applications for various ETFs with the SEC.

The latest crypto to join this trend is Pudgy Penguins (PENGU). According to a recent SEC filing, Canary Capital has submitted an application to the U.S. Securities and Exchange Commission for a PENGU ETF. This marks the first filing for a Pengu ETF and, if approved, would also be the first memecoin-related ETF.

The proposed ETF aims to facilitate investment in PENGU tokens and Pudgy Penguins NFTs. Furthermore, it also intends to hold other digital assets like SOL and ETH to support trading and transfer activities. If the SEC approves this ETF, it would allow investors to track PENGU’s price and performance without needing to own the physical assets directly.

Significantly, a PENGU ETF would provide institutional and large entities a way to invest in crypto without engaging with crypto platforms or direct ownership. Such exposure could enhance the altcoin’s performance and growth.

How Other Altcoins Performed After Their ETF Filings

In light of the recent ETF frenzy among altcoins, it’s worthwhile to analyze how other altcoins have performed post ETF filings, which can hint at whether PENGU will mirror this trend.

For example, two weeks ago, Bitwise submitted a filing for an Aptos ETF with the SEC, which caused APT to spike from $5.05 to $6.54, before retracing to $4.80 later.

Similarly, following Bitwise’s Dogecoin (DOGE) ETF filing on March 3, 2025, DOGE’s price soared to a local high of $0.24 but subsequently fell to $0.16, indicating that major filings can cause speculative buying leading to short-term rallies followed by sell-offs.

PENGU’s Case Study

Like other altcoins, PENGU’s price surged after the ETF application announcement, climbing from $0.0064 to $0.0076, an 18% increase that broke through a $0.006 resistance level. However, the memecoin retraced to $0.0063 shortly after.

Despite this retracement, strong bullish sentiment has developed around PENGU, evidenced by a positive shift in weighted sentiment for the first time in six days. Such sentiment typically attracts more investors, increasing asset demand.

Additionally, PENGU’s net flows reached a high negative level of -$557.9k for the first time in eight days, indicating a trend where buying exceeds selling. This positive order imbalance can result in price increases if demand remains strong.

With positive market sentiment, PENGU seems poised for potential recovery. If conditions are stable, PENGU could reclaim $0.007 and possibly approach $0.008, although a drop to $0.0059 remains a possibility.