Galaxy Digital has attracted significant attention with its actions to massively sell off Ethena ($ENA) cryptocurrency. Over the past 29 hours, 10.85 million ENA tokens have been sold, resulting in a sharp price drop.
Overview of Galaxy Digital's Deal
Galaxy Digital has completed a substantial selloff, offloading 10.85 million ENA tokens. This resulted in approximately $2.37 million in profit, or a 23.5% return. The final deposit to Binance included 4.46 million tokens valued at $4.92 million.
Market Reaction and ENA's Decline
The large-scale token selloff triggered a dramatic drop in ENA's value. The token's price fell over 15% in the last 24 hours, dipping below the psychological $1.00 mark to $0.994. Ethena's market cap fell from $3.51 billion to $3.01 billion. Trading activity has spiked but hasn't stabilized the price, reflecting selling pressure.
Technical Analysis of Ethena Crypto
Technical analysis indicates a sharp downtrend for ENA. On the four-hour chart, a significant decline is observed following a rejection from a critical resistance zone around $1.30. A further decline might target the $0.80 – $0.95 range, though oversold conditions could prompt a short-term price rally.
The Ethena cryptocurrency market is experiencing tough times following Galaxy Digital's large token selloff. While there is potential for a short-term recovery, the overall sentiment remains bearish as institutional selling pressure continues.
