ENA price dropped 10% on Friday as Ethena whales also began to sell off in large quantities, raising concerns among investors.
Ethena has recently sparked a wave of concern among cryptocurrency market participants, as its actions have gradually weakened in the face of massive sell-offs by whales. On-chain data from Thursday showed that whales sold millions of tokens, intensifying investor concerns as the ENA price plummeted by 10%. Therefore, following the recent market fluctuations, cryptocurrency enthusiasts are now widely focusing on the future price trends of this token.
Is ENA price at risk? Massive sell-off by whales raises concerns.
According to Lookonchain data, as of December 26, some whales withdrew 3.36 million ENA (worth 3.17 million USD) and sold them to cryptocurrency exchange giant Binance. This large-scale sell-off occurred during the recent market downturn, highlighting signs of panic selling. Notably, according to Etherscan data, these whale addresses are identified as 0x886b.. and 0xbB22...
Overall, the large-scale sell-off during the recent market downturn suggests that traders are exhibiting a low risk appetite by selling to mitigate losses. Meanwhile, another incident has intensified concerns about the asset's market position.
Arthur Hayes from BitMEX recently sent 7 million ENA to Binance after unstaking. As the cryptocurrency is currently experiencing a crash, this exchange sell-off has further raised market concerns.
How is Ethena performing?
As of the time of writing, the intra-day price recovery of ENA is currently trading at $0.9523. Its 24-hour low and high are $0.9219 and $1.04, respectively. Notably, the current downward trajectory aligns with the broader cryptocurrency market trend and the aforementioned Ethena whale sell-off.
Nevertheless, it is noteworthy that the monthly chart for the token shows an increase of up to 48%. This upward trend reflects a surge in market optimism, as the cryptocurrency team recently announced a partnership with Trump's WLFI. A governance proposal has therefore been submitted to integrate Ethena's sUSDe stablecoin as the core collateral asset for WLFI's upcoming Aave-based lending platform.
Given the future recovery of the market and the collaboration with WLFI, the price of ENA may rise significantly. With Trump returning to the White House, the general sentiment about the future of the industry has turned bullish, and Ethena is still poised to further capitalize on this opportunity.
In simple terms.
Esina whales' massive dumping has raised market concerns.
Due to the large-scale sell-off by whales, the price of ENA plummeted by 10%.
Nevertheless, following the recent collaboration, the entire market remains optimistic about the future trend of the asset.