The price of Ethena (ENA) surged over 40% in a week, reaching new local highs. Let's delve into the details of price dynamics and market characteristics.
Price Dynamics from July to August
In early July, ENA traded in a narrow range but began to rise significantly by mid-month, breaking into the $0.60-$0.70 zone. A brief dip occurred in early August to the low $0.60s, quickly absorbed by strong demand. This week, the price climbed to $0.85, establishing a new local high. The increase from $0.60 to $0.85 represents over a 40% gain in just a week.
Market Internals
Volume has increased on green candles during breakouts, then cooled during pullbacks. The recent push shows about 117 million in volume. Open interest has been rising into this rally, currently around $565 million. This suggests new positions are being opened rather than merely covering shorts. Currently, net short positions are approximately $1.47 billion versus net long at $1.10 billion.
ENA Price Forecast for August
Base case (40%) – $0.95-$1.10: continuation above $0.85 with resistance at $1.00. Range case (30%) – $0.72-$0.90: potential fizzling of breakout with fluctuations. Bear case (10%) – $0.62-$0.70: loss of support at $0.72-$0.75. Stretch case to $1.50 (20%): requires substantial price increases with favorable conditions. The current trend is upward, and $1.00 is the next major checkpoint.
The current price trend of Ethena remains upward, with $1.00 as a key level to surpass. Forecasts for August vary, but reaching $1.00 could open up new growth opportunities.
