What could affect the price of ENA?
Ethena’s price is navigating a complex mix of token unlocks, competition for yields, and changing regulations.
- Token Unlocks (Bearish) – On October 2, 212.5 million ENA tokens (worth about $126.7 million) will become available, which could lead to selling pressure in the short term.
- Fee Switch Activation (Bullish) – If approved by governance, a new system to share revenue with stakers could increase demand for ENA.
- USDe Adoption (Mixed) – While USDe is growing fast, it faces competition and risks from its investment strategy.
Deep Dive
1. Token Unlocks & Buybacks (Bearish/Bullish Impact)
Overview:
On October 2, 212.5 million ENA tokens, representing 3.2% of the total supply, will unlock. These tokens mostly belong to early investors. Past unlock events, like the $100 million unlock in July 2025, caused short-term price swings. However, Ethena’s ongoing $260 million buyback program has helped stabilize the price (CoinJournal).
What this means:
While unlocking tokens can increase supply and put downward pressure on the price, Ethena’s buybacks (which were $5 million per day in August 2025) and a $20 million investment from M2 Capital (AMBCrypto) may help reduce selling pressure. Keep an eye on the $0.55 price level—if the price falls below this, it could trigger panic selling.
2. Fee Switch & Staking Rewards (Bullish Impact)
Overview:
Ethena’s Risk Committee has approved a “fee switch” that would redirect some of the protocol’s revenue (which was $54 million in August) to ENA token stakers. This change still needs approval from the community through a governance vote expected by the fourth quarter of 2025 (Blockworks).
What this means:
If the fee switch is activated, people who stake ENA tokens could earn a share of the fees generated by USDe’s $12.4 billion supply. This creates an incentive to hold ENA long-term. Similar systems, like MakerDAO’s MKR token, have historically increased token value and utility.
3. USDe Growth vs. Stablecoin Risks (Mixed Impact)
Overview:
USDe’s supply grew 4.6 times in 2025, reaching $12.4 billion. However, its delta-neutral investment strategy (using stETH and perpetual short positions) carries risks during volatile market conditions. Meanwhile, competitors like Tether’s USD₮ remain dominant with a $173 billion supply (DeFiLlama).
What this means:
USDe offers a 10% yield, which attracts users, but a major price drop or liquidity crisis (such as a chain reaction of forced sales) could negatively impact ENA. New regulations, like the GENIUS Act, support compliant stablecoins like USDtb but restrict those offering high yields (Citi GPS).
Conclusion
Ethena’s price will depend on how well it balances the pressure from token unlocks with demand from staking and the stability of USDe. If the fee switch passes and buybacks continue, they could soften the impact of the October unlock. However, USDe’s rapid growth brings both opportunities and risks. Will ENA hold its $0.55 support after the unlock, or will large holders move on to other investments?
What are people saying about ENA?
The Ethena (ENA) community is divided between optimism for a price breakout and concerns about price holding steady. Here’s what’s currently making headlines:
- $0.70 resistance level – Traders are watching for a bullish breakout from a triangle pattern
- StablecoinX partnership – A $530 million deal is fueling speculation that ENA could reach $2
- Large whale purchases – 79 million ENA tokens bought in July hint at growing institutional interest
In-Depth Look
1. @CryptoStreamHub: Strong fundamentals suggest $2+ potential bullish
"$ENA generated $53 million in weekly revenue – double that of Hyperliquid. Activating the fee switch and a Nasdaq listing could lead to a higher valuation."
– @CryptoStreamHub (89K followers · 2.1M impressions · Sept 2, 2025, 08:15 UTC)
View original post
What this means: This is positive news for ENA. Growing revenue and upcoming corporate partnerships could justify a higher price if more people start using the platform.
2. @ali_charts: Large token transfers to exchanges signal caution bearish
"80 million $ENA moved to exchanges in two weeks – the largest open interest since May 2025 at $1.13 billion."
– @ali_charts (478K followers · 15M impressions · Sept 2, 2025, 15:32 UTC)
View original post
What this means: This could be a warning sign. When many tokens are moved to exchanges, it often means holders might be preparing to sell, especially with futures trading at high levels.
3. CoinMarketCap Analysis: Price pattern at a critical point mixed
"ENA is trading between $0.55 and $0.70. A 40% increase in Bollinger Band width suggests upcoming volatility. The daily RSI at 64 shows it’s not yet overbought."
– CMC Technical Team (Verified · Aug 4, 2025, 13:59 UTC)
View original post
What this means: The price could go either way. A close above $0.75 might trigger a buying frenzy, while dropping below $0.55 could break the bullish trend.
Conclusion
Opinions on ENA are mixed. On one hand, strong revenue growth and the $530 million StablecoinX deal point to long-term promise. On the other, the $0.70 resistance level has stopped four breakout attempts since August. Keep an eye on the 4-hour exponential moving averages (around $0.60) and the upcoming fee switch activation. Ethena’s success in turning synthetic dollar adoption into real token use will likely shape its performance in the last quarter of the year.
What is the latest news about ENA?
Ethena is managing large token releases and market moves while aiming for price stability. Here’s the latest update:
- Big Token Release on October 1, 2025 – About $126.7 million worth of ENA tokens will enter the market, which could impact prices.
- M2’s $20 Million Investment on September 25, 2025 – A UAE investor is supporting Ethena’s synthetic dollar stablecoin efforts.
- Price Near Important Support Level on September 29, 2025 – ENA is trading around $0.55, a key price point during this volatile period.
Deep Dive
1. Big Token Release on October 1, 2025
What’s Happening:
Ethena plans to release 212.5 million ENA tokens, which is about 3.2% of the total supply. This is part of a larger wave of token releases worth $339 million involving other projects like SUI and EIGEN. Just a few days earlier, on September 28, a smaller release of 40.63 million ENA tokens occurred. In the past, ENA has bounced back well after such releases, sometimes gaining over 135% in the following month. However, there could be short-term selling pressure that tests the $0.55 price level.
Why It Matters:
Token releases can sometimes lower prices because more tokens become available to sell. But Ethena has a buyback program that uses 60% of its income to buy back ENA tokens, which can help support the price. Also, the total value locked (TVL) in Ethena’s system has grown to over $14 billion, showing strong user interest. How the market reacts will depend on whether buyers step up during what some call “Uptober,” a time when crypto markets often see positive momentum. (CoinJournal)
2. M2’s $20 Million Investment on September 25, 2025
What’s Happening:
M2 Capital, an investment firm based in the UAE, put $20 million into ENA. They are integrating Ethena’s stablecoins, USDe and sUSDe, into their regulated wealth management platform. This follows moves by YZI Labs, connected to the former Binance CEO, to expand Ethena’s presence on the BNB Chain.
Why It Matters:
This shows growing interest from institutional investors in Ethena’s stablecoins, which currently offer about 9% annual yield. USDe has become the third-largest stablecoin with a supply of $12.4 billion. Partnerships like M2’s could help Ethena gain more adoption among businesses and large investors. (Crypto.News)
3. Price Near Important Support Level on September 29, 2025
What’s Happening:
ENA is trading at around $0.571, down about 2.87% for the day, and close to a key support level of $0.55. Technical indicators are mixed: the MACD suggests some upward momentum, but the RSI at 44 indicates neutral market sentiment.
Why It Matters:
If ENA holds above $0.55, it could push back up toward resistance at $0.65, especially if the overall crypto market improves. But if it falls below $0.55, it might trigger further selling down to $0.50. Traders are watching closely to see if selling pressure from token releases will ease at this level.
Conclusion
Ethena is balancing strong institutional support with the challenges of large token releases. M2’s investment and the growth of USDe point to long-term strength, but the upcoming token unlocks in October will test short-term price stability. The key question is whether Ethena’s buyback program and positive market trends in “Uptober” can offset concerns about increased token supply.
What is expected in the development of ENA?
Please provide the English text you would like me to rewrite and localize into US English.
What updates are there in the ENA code base?
Ethena’s latest updates focus on improving staking features, adjusting fee structures, and strengthening ecosystem security.
- Fee Switch Activation (September 15, 2025) – Protocol fees will be redirected to buy back ENA tokens, pending community approval.
- Generalized Restaking Integration (June 26, 2025) – ENA holders can restake tokens to help secure cross-chain USDe transfers using LayerZero technology.
- Tokenomics Overhaul (June 17, 2025) – New rules require locking half of newly vested ENA tokens to encourage long-term holding.
Deep Dive
1. Fee Switch Activation (September 15, 2025)
What’s happening: The Ethena Foundation plans to redirect a portion of protocol fees to buy back ENA tokens, but this needs approval from ENA token holders.
Why it matters: This change links the protocol’s revenue directly to the value of ENA tokens. By using fees to buy ENA on the open market, it creates steady demand that could help support the token’s price.
Bottom line: This is a positive development for ENA holders because it encourages ongoing buy pressure, which may balance out selling activity. (Source)
2. Generalized Restaking Integration (June 26, 2025)
What’s happening: ENA holders can now “restake” their tokens to help secure USDe transfers across different blockchains using LayerZero’s decentralized network.
Why it matters: Restaking increases the security of USDe’s cross-chain operations and rewards participants with Ethena tokens, Symbiotic points, and possible LayerZero airdrops.
Bottom line: This adds more utility to ENA and could reduce the number of tokens available for trading, which might support the price. However, it also adds complexity and depends on demand for cross-chain transfers. (Source)
3. Tokenomics Overhaul (June 17, 2025)
What’s happening: Ethena introduced a rule requiring users who receive weekly ENA airdrops to lock up 50% of their newly vested tokens in staking or restaking pools. If they don’t, they lose those tokens, which are then given to users who follow the rules.
Why it matters: This encourages holders to keep their tokens locked longer, reducing quick sell-offs and promoting stability.
Bottom line: This is good for ENA’s long-term health but might discourage short-term traders. (Source)
Conclusion
Ethena’s recent updates aim to better align incentives, increase the usefulness of ENA, and secure its synthetic dollar system. The fee switch and restaking features could help ENA capture more value, while the tokenomics changes work to keep the supply stable. As the Ethena Chain launches later this year, it will be interesting to see how ENA’s role evolves.
Why did the price of ENA fall?
Ethena (ENA) dropped 3.11% in the last 24 hours, underperforming the overall crypto market, which rose 2.87%. Here’s why:
- Upcoming token unlock – On October 1, 212.5 million ENA tokens worth about $126.7 million will become available, raising concerns about increased selling pressure.
- Technical breakdown – ENA’s price fell below a key support level at $0.58.
- Market rotation – While Bitcoin’s market share increased to 57.92%, many altcoins, including ENA, lagged behind.
Deep Dive
1. Token Unlock Anxiety (Negative Impact)
Ethena is about to unlock $126.7 million worth of tokens on October 1, which is 3.2% of the tokens currently in circulation. Recently, 80 million ENA tokens were moved to exchanges, signaling that holders might be preparing to sell (Ali Charts).
Token unlocks often lead to price drops because more tokens become available to sell. For example, after a similar unlock on July 25, ENA’s price fell 19.2% over the following week. Right now, the overall crypto market sentiment is cautious, with a Fear & Greed Index score of 39/100 (CMC Fear & Greed), suggesting traders are reducing risk.
Watch for how many tokens flow into exchanges after the unlock and whether holders decide to sell or keep their tokens.
2. Technical Weakness (Negative Impact)
ENA’s price recently dropped below the $0.58 level, which is an important Fibonacci retracement support, and also fell under its 30-day moving average of $0.685. The MACD indicator, which helps identify momentum, turned negative, indicating increasing downward pressure.
This technical breakdown likely caused traders to sell, pushing the price lower. The next key support level to watch is around $0.545, which matches a price range where buyers stepped in back in July.
3. Altcoin Underperformance (Mixed Impact)
Even though the overall crypto market rose by 2.87%, altcoins like ENA didn’t keep pace. Bitcoin’s dominance—the percentage of the total crypto market it controls—rose to 57.92%, the highest since June 2025.
This shift means investors are favoring Bitcoin over other cryptocurrencies, often seen as a safer bet during uncertain times. However, ENA’s decline was sharper than some similar coins like SUI (-1.7%) and EIGEN (-2.1%), indicating there may be specific reasons behind ENA’s weaker performance.
Conclusion
ENA’s recent price drop is driven by concerns over the upcoming token unlock, technical signals pointing to weakness, and a broader market trend favoring Bitcoin over altcoins. While Ethena’s underlying fundamentals remain solid, with a USDe supply of $12.4 billion, short-term risks are high.
Key things to watch: Will ENA hold the $0.55 support level after the unlock, or will selling push it down toward the 50% Fibonacci retracement at $0.50? Keep an eye on token flows into exchanges and changes in Bitcoin’s market dominance.