Ethena (ENA) continues to show strong market dynamics, trading at $0.7007 after an 8.75% increase in the last 24 hours. Traders are closely monitoring potential breakout levels and risk management.
Technical Setup and Divergence Signals
Ethena's price has been consolidating within a descending channel, often seen as a continuation pattern after strong upward movement. Currently, the market is retesting the $0.635 midline, which carries significant technical weight for determining the next direction.
Analyst Jonathan Carter (@JohncyCrypto) noted that RSI has formed higher lows even as price recorded marginally lower lows. This divergence often suggests weakening seller control and increases the potential for a bullish reversal.
The 50-period moving average is also in focus, acting as a dynamic pivot after previously serving as support.
Price Breakout Levels and Targets
As of writing, Ethena is valued at $0.7007, posting an 8.75% increase over the last 24 hours and an 11.65% weekly rise. This performance aligns with renewed momentum that could push the price beyond near-term barriers.
Carter pointed out that a 4H close above the channel topside near $0.68–$0.70 would confirm a breakout. This is likely to push the price to the first resistance at $0.775, which is also the location of previous highs and a volume node.
Considering the momentum, the next targets are at $0.855 and the key psychological level of $1.00.
Risk Control and Invalidation Levels
Despite the bullish structure, risk management remains critical. The descending channel’s lower boundary, positioned around the low $0.60s, serves as the primary invalidation level for buyers.
A 4H close below $0.610, followed by sustained selling pressure, would negate the bullish divergence and open a path toward lower demand levels. This scenario would delay the expected breakout and trap early entries.
Ethena shows clear signals for growth, but traders should remain aware of weakness levels and risks that may arise during trading.
