Ethena (ENA) has been locked in a steep descending channel since late 2024, repeatedly thwarting bullish recovery efforts. Now, the token is testing the upper boundary of this bearish structure near $0.36—just above the 100-day Simple Moving Average (SMA), which stands at $0.3479 at the time of writing. This consolidation around a long-standing resistance level may hint at mounting breakout momentum.
A decisive daily close above $0.37 could catalyze a rally toward $0.45 and potentially higher. However, traders must remain cautious, as a sustained move past $0.41—where multiple resistance levels converge—is essential for confirmation. This price zone is densely populated by holders sitting at breakeven, forming a psychological barrier that could prompt selling pressure.
According to on-chain data, only 5.53% of wallets are currently in profit, while 25.39% remain out of the money. A striking 69.08% are breaking even in the $0.34–$0.41 range, adding friction to upward momentum as investors seek to minimize losses or exit positions.
In terms of market behavior, recent shifts reveal declining whale involvement. Large holders have trimmed their positions by 3.63% over the past month, while mid-tier and retail investors have increased holdings by 19.15% and 10.44%, respectively. This growing confidence among smaller players may support a rally, but lack of institutional-scale participation could cap breakout strength unless new demand emerges.
Meanwhile, ENA is showing signs of quiet accumulation. Exchange data reveals $10.53 million in spot outflows versus $7.83 million in inflows—suggesting investor confidence and a potential reduction in near-term selling pressure. If this trend persists, and aligns with bullish price action, it could drive a repricing higher.
Additionally, Open Interest in ENA derivatives has surged 10.51% to $484.47 million. This points to increasing speculative activity and the possibility of a volatility spike. Should the token breach resistance levels, a short squeeze may amplify gains—but the same leverage raises the stakes for sudden downside volatility.
Also Read: Ethena (ENA) Price Rebound: Can It Sustain Momentum or Fall to New Lows?
In conclusion, ENA sits at a pivotal technical juncture. A breakout above $0.41 with strong volume and inflows could shift sentiment decisively bullish. But without whale support and amid heavy breakeven resistance, the next move hinges on conviction and momentum from both retail and institutional players.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of CoinBrief.io. Before making any investment decisions, you should always conduct your own research. Coin Brief is not responsible for any financial losses.
