Why did the price of ENA go up?

Ethena (ENA) increased by 5.67% in the last 24 hours, outperforming the overall crypto market, which rose by 2.68%. This follows a strong weekly gain of 12.25%, although ENA is still 25.55% below its highest point in the past 30 days. The main factors behind this rise are:

1. Launch of Ethereal DEX Mainnet – Expanding Ethena’s decentralized finance (DeFi) ecosystem.
2. Buyback Activity – Ethena projects spent $25 million buying back ENA tokens, reducing supply.
3. Technical Breakout – Price surpassed key resistance levels with growing momentum.

Deep Dive

1. Ethereal DEX Mainnet Launch (Positive Impact)

Overview: Ethena’s community-backed decentralized exchange, Ethereal, launched its mainnet alpha on October 22. This allows trading of USDe, Ethena’s stablecoin. ENA holders will receive 15% of Ethereal’s future tokens, linking the success of Ethereal directly to Ethena’s ecosystem (The Defiant).

Why it matters: This launch increases the usefulness of ENA as a governance token and opens up new revenue opportunities through fee-sharing. It supports Ethena’s goal of creating a self-sustaining DeFi platform, which can boost demand for ENA.

What to watch: Adoption rates of Ethereal and how USDe is used in cross-chain trading.

2. Buyback Activity & Founder Confidence (Positive Impact)

Overview: Ethena’s founder, Guy Young, bought $25 million worth of ENA on October 18, sparking a 160% rally over the month. This fits a larger trend in 2025 where crypto projects spent $1.4 billion on buybacks to reduce selling pressure (Bitget).

Why it matters: Buybacks show strong confidence in ENA’s value and reduce the number of tokens available on the market. Currently, ENA’s circulating supply is 7.16 billion tokens, about 47.7% of the total possible supply. Strategic buybacks could make ENA scarcer, potentially increasing its price.

What to watch: Ongoing buyback activity and transactions from insider wallets.

3. Technical Breakout (Mixed Impact)

Overview: ENA’s price moved above its 200-day simple moving average (SMA) at $0.462 and surpassed the 23.6% Fibonacci retracement level at $0.544. The MACD indicator turned positive, suggesting upward momentum.

Why it matters: This could signal a short-term trend reversal for traders, but resistance remains near the 38.2% Fibonacci level at $0.475. The Relative Strength Index (RSI) is neutral at 41.38, indicating the token is not overbought.

What to watch: Whether ENA can maintain closing prices above $0.475 to confirm continued upward movement.

Conclusion

Ethena’s recent price increase is driven by strategic growth in its ecosystem (Ethereal DEX launch), supply reduction through buybacks, and positive technical signals. While momentum is building, investors should watch for resistance around $0.475 and changes in overall market conditions.

Key question: Can ENA stay above its 200-day SMA as Bitcoin’s dominance rises (+59.33%) and altcoins face liquidity challenges?

What could affect the price of ENA?

Ethena’s price depends on how well its protocol grows, overall market mood, and clear government rules.

1. Tokenomics Changes – Locking tokens and buybacks help reduce selling pressure.
2. Product Growth – Adding new stablecoins and expanding decentralized exchanges (DEXs) increase usefulness.
3. Big Picture Risks – Trade tensions and crypto regulations could slow wider adoption.

Deep Dive

1. Protocol-Driven Demand (Positive for Price)

Overview:
Ethena updated its token rules so that 50% of unvested ENA tokens must be locked up for staking (called sENA) or restaked through Symbiotic to avoid losing them (Ethena Docs). In 2025, projects spent $1.4 billion on buying back tokens, with Ethena’s founder personally buying $25 million worth of ENA (Bitget).

What this means:
With fewer tokens available to trade (715 million out of 15 billion total) and strategic buybacks, inflation pressure on the token may ease. Plus, sENA holders earn 40 times more rewards in Season 3 (Mirror), encouraging people to hold long-term, which has historically helped keep prices stable.

2. Ecosystem Growth vs. Competition (Mixed Outlook)

Overview:
Ethena’s USDe stablecoin, with a supply of $12.4 billion, now works with Ethereal DEX’s mainnet and Jupiter’s JupUSD on the Solana blockchain (The Defiant). However, USDT and USDC stablecoins still control 85% of the $284 billion stablecoin market.

What this means:
New features like Ethereal’s perpetual contracts trading could increase demand for ENA as a governance and utility token. But competing with well-established stablecoins will require ongoing growth and adoption. Without it, ENA risks becoming a niche player.

3. Macro and Regulatory Challenges (Negative for Price)

Overview:
The tech trade war between the U.S. and China caused a 5% drop in the crypto market on October 22 (The Defiant). At the same time, Ethena’s synthetic dollar model is under review due to the proposed GENIUS Act.

What this means:
Wider market fear (with the Crypto Fear & Greed Index at 28) and potential new stablecoin regulations could limit price gains. ENA’s 35% drop over the past 60 days shows how sensitive it is to these big-picture risks.

Conclusion

ENA’s future depends on balancing innovative protocol features with unpredictable market and regulatory forces. In the short term, watch how many users adopt sENA and how USDe expands across blockchains. Over the long term, clear rules for synthetic assets will be key. Can ENA’s restaking system help it weather Bitcoin-driven market ups and downs?

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What are people saying about ENA?

Ethena’s community is divided between hope for a price breakout and caution during a period of stability. Here’s what’s currently happening:

1. Price struggle around the $0.51 resistance level
2. Strong revenue growth and excitement about upcoming fee changes
3. Big investors predict the price could go above $1 if Bitcoin’s price rises

In-Depth Look

1. @MisterSpread: Weekly Resistance Battle — Bearish Outlook

“The $0.51 level was lost and is now acting as resistance on the weekly chart. This is bearish in the short term until the price closes above $0.65 daily.”
– @MisterSpread (82K followers · 1.2M impressions · 2025-10-22 13:41 UTC)
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What this means: Traders are cautious because Ethena’s price has dropped below $0.51, which is now a tough barrier to overcome. The price needs to rise above this level to show strength.

2. @CryptoStreamHub: Revenue Growth — Bullish Outlook

“Ethena is generating $53 million in weekly revenue, twice as much as Hyperliquid. A fee structure change is expected soon.”
– @CryptoStreamHub (216K followers · 3.8M impressions · 2025-09-02 08:15 UTC)
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What this means: Ethena’s strong revenue performance and upcoming changes to how fees are handled are positive signs for the project’s long-term value.

3. @Kingpincrypto12: Technical Pattern Optimism — Bullish Outlook

“A weekly double bottom pattern combined with the 200-day exponential moving average suggests a buying opportunity, targeting $0.88.”
– @Kingpincrypto12 (41K followers · 890K impressions · 2025-10-05 08:30 UTC)
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What this means: Some technical analysts see signs that the price could rebound, but this depends largely on the overall market trend, especially Bitcoin’s performance.

Conclusion

The outlook for Ethena (ENA) is mixed. On one hand, strong revenue growth and significant purchases by large investors (over $50 million in August) support optimism. On the other hand, the price faces resistance between $0.51 and $0.70, making it a challenging zone to break through. Keep an eye on whether the price can close above $0.51 on a weekly basis — a clear move above this level could spark a new positive trend.

What is the latest news about ENA?

Ethena is growing its ecosystem and expanding its reach, even as the overall crypto market faces challenges. Here are the key updates:

1. Ethereal DEX Mainnet Alpha Launch (October 22, 2025) – Ethena’s first native decentralized exchange (DEX) goes live, featuring the USDe stablecoin.
2. Coinbase Acquires Echo for $375 Million (October 21, 2025) – Echo, the platform where Ethena first raised funds, is now part of Coinbase.
3. Team Growth Points to New Products (October 20, 2025) – Ethena hires over 10 engineers to build two new projects designed to operate at the scale of USDe.

In-Depth Look

1. Ethereal DEX Mainnet Alpha Launch (October 22, 2025)

What Happened:
Ethereal, a decentralized exchange approved by the Ethena community, launched its mainnet alpha version. This DEX is built on a custom Ethereum-compatible blockchain called Ethereal Chain. It uses Arbitrum and Celestia technologies to handle transaction settlement and data storage. ENA token holders will receive 15% of any future Ethereal tokens issued.

Why It Matters:
This launch strengthens Ethena’s decentralized finance (DeFi) ecosystem by providing a dedicated platform for trading the USDe stablecoin. It could increase demand for ENA tokens through governance rights and revenue sharing. Additionally, Ethereal will integrate with Jupiter’s upcoming JupUSD stablecoin on the Solana blockchain, expanding its use across different networks (The Defiant).

2. Coinbase Acquires Echo for $375 Million (October 21, 2025)

What Happened:
Coinbase acquired Echo, a crowdfunding platform that helped Ethena raise its initial funds. Since April 2024, Echo has facilitated $51 million in funding across 131 deals, with Ethena as its first major project. After the acquisition, Echo’s Sonar tool, which supports public token sales, will be integrated into Coinbase’s platform.

Why It Matters:
This acquisition could make it easier for Ethena to reach Coinbase’s large user base and institutional clients. However, Echo’s current revenue of $37,000 raises questions about how quickly it can scale. The deal reflects renewed interest in ICO-style fundraising, which could boost ENA’s visibility (Cointelegraph).

3. Team Growth Points to New Products (October 20, 2025)

What Happened:
Ethena announced it is hiring more than 10 engineers and product developers, marking its biggest hiring push since 2023. Co-founder Guy Young revealed that two new business lines will launch within three months, both designed to operate at the scale of USDe.

Why It Matters:
This team expansion suggests Ethena is preparing significant upgrades or new products, possibly aimed at attracting institutional investors or integrating real-world assets (RWA). With total value locked (TVL) at $11.8 billion—up 18% month-over-month—and support from Binance Labs and Fidelity, the success of these efforts will depend on execution (Yahoo Finance).

Conclusion

Ethena is moving quickly to build its ecosystem with the Ethereal DEX launch, leveraging strategic partnerships like Coinbase’s acquisition of Echo, and preparing new products supported by a growing team. However, the crypto market remains volatile—ENA saw $51 million in liquidation volume during the October 22 selloff. The big question is whether Ethena’s protocol-driven growth can overcome these broader market challenges.

What is expected in the development of ENA?

Ethena is making progress with these key milestones:

1. Ethena Chain Launch (Q1 2026) – A new blockchain designed for decentralized finance (DeFi) apps, using USDe as the transaction fee token.
2. Two New Products (Q1 2026) – Two upcoming projects expected to be as significant as USDe.
3. USDm Stablecoin Integration (2025–2026) – Introducing a new stablecoin to reduce fees and grow the ecosystem.

In-Depth Look

1. Ethena Chain Launch (Q1 2026)

What it is:
Ethena Chain is a new blockchain platform focused on financial services like decentralized exchanges (DEXs), lending without full collateral, and complex financial products. It will use USDe as the token to pay transaction fees (“gas”). Additionally, users can restake their Ethena tokens (ENA) to help secure cross-chain transactions through a network called LayerZero’s DVN. You can find more details in the 2024 roadmap.

Why it matters:
This development is positive for ENA because it increases the token’s usefulness beyond just voting on decisions. It links demand for ENA to the security of the network and the number of transactions happening. However, there are risks like possible delays in launching and competition from other Ethereum Layer 2 solutions.

2. Two New Products (Q1 2026)

What it is:
Ethena Labs is growing its team by 40–50% to build two new products that could be as impactful as USDe. These products are still under wraps but are expected to launch within three months, by January 2026 (The Block).

Why it matters:
This news is cautiously optimistic. New products could attract more users, but without details, it’s hard to assess their potential. Their success will depend on how well they stand out from existing DeFi options and how the market reacts, especially since current crypto sentiment is cautious (crypto fear index at 28/100).

3. USDm Stablecoin Integration (2025–2026)

What it is:
Ethena is partnering with MegaETH Labs to integrate USDm, a stablecoin designed to lower transaction fees and offer more flexibility for developers. This fits with Ethena’s goal of supporting scalable, dollar-pegged digital assets.

Why it matters:
This is neutral for ENA. While USDm could shift some focus away from USDe, it might also create opportunities if USDm uses Ethena’s security features, potentially increasing the value of restaking ENA tokens.

Conclusion

Ethena’s roadmap focuses on building strong infrastructure with the Ethena Chain and expanding its product lineup. While there are risks in execution, the project benefits from solid institutional support, including $530 million in funding from StablecoinX. The big question is whether demand for restaking ENA and adoption of new stablecoins like USDm can outpace competition in a cautious market environment.

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What updates are there in the ENA code base?

Ethena’s recent updates focus on improving governance and expanding its reach across different blockchain networks.

1. Fee Switch Activation (September 15, 2025) – A new feature approved by governance that directs protocol fees to ENA token holders who stake their tokens.
2. HyperEVM Integration (August 7, 2025) – Added support for sUSDe yield pools on HyperEVM, a fast Ethereum-compatible blockchain, to increase cross-chain access.

Deep Dive

1. Fee Switch Activation (September 15, 2025)

Overview: The Ethena Foundation has set the rules to activate a “fee switch,” which allows ENA token holders to earn a portion of the protocol’s revenue by staking their tokens. This change still needs approval through a governance vote.

Basically, a part of Ethena’s income—such as fees from USDe transactions—will be shared with ENA stakers. This encourages people to hold and stake their tokens long-term. The Risk Committee has approved the parameters, and more technical details will be shared soon (Source).

What this means: This is positive news for ENA holders because staking will provide them with direct earnings from the protocol, which helps align interests and may reduce the pressure to sell tokens.

2. HyperEVM Integration (August 7, 2025)

Overview: Ethena has launched sUSDe yield pools on HyperEVM, a high-performance blockchain compatible with Ethereum. This makes it easier for users to access Ethena’s yield-bearing stablecoin, sUSDe, across different networks.

Users can now earn fixed returns on sUSDe within the HyperEVM ecosystem. The initial pools have a $100 million cap, focusing on early participants (Source).

What this means: This update is somewhat positive for ENA because it increases the token’s usefulness. However, its success depends on how many users adopt the new pools. Easier access to yields could increase demand for both USDe and ENA.

Conclusion

Ethena’s updates aim to make the protocol more sustainable through the fee switch and more scalable by expanding to other blockchains like HyperEVM. These changes are designed to boost user engagement and create new use cases. The key question remains: will the rewards from staking be enough to balance out any selling pressure from tokens that become unlocked?