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>But how can Walking Wake be a distant ancestor of Suicune who was made by Ho-oh
The real answer is that none of the Paradox Pokemon are actually related to present day Pokemon. The twist is that these Pokemon are actually all convergent evolution Pokemon. They look a lot like other Pokemon, but are in fact 100% unrelated.
This is why each Paradox Pokemon is given a unique name instead of [Pokemon]-Past or [Pokemon]-Future.
This is why they have similar stat distributions to certain Pokemon, but are mostly stronger because most live in the harsh environment of Area Zero.
This is why Heath was able to see these Pokemon, as they are all from the present day and the time machine was just placebo.
Paradox Pokemon were hinted at by Wugtrio line and the Toedscruel line.