Whales significantly impact ENA token price

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Ethena ENA token price plummets: whale sell-offs and market uncertainty

In the cryptocurrency market, the Ethena (ENA) token has recently experienced significant price fluctuations, particularly due to whale sell-offs, which have drawn widespread attention to the market. As of December 26, 2024, several whales sold approximately 3.36 million ENA tokens on the Binance exchange, valued at around $3.17 million. This large-scale sell-off caused the ENA token price to drop about 10% in just one day, with the current trading price at $0.92.

Market panic triggered by whale sell-offs

According to Lookonchain data, whale addresses 0x886b.. and 0xbB22… became the main players in this sell-off. The large-scale selling from these addresses intensified the panic selling sentiment in the market, leading to significant price volatility for ENA. The 24-hour price range fluctuated between $0.92 and $1.04, indicating an increase in market uncertainty regarding future price trends.

The sell-offs by whales not only caused short-term price declines but also raised concerns among investors about the future price volatility of ENA. The increased uncertainty in market sentiment heightened investors' risk expectations, especially when whale accounts transfer large amounts of funds, which can trigger panic among other investors and further exert downward pressure on the market.

The future of Ethena: hope brought by new partnerships

Despite the pressure on the market, the prospects for Ethena remain hopeful. Data shows that despite the price drop, the monthly growth of the Ethena token still reached 48%. This growth is primarily attributed to Ethena's strategic partnership with Donald Trump's World Liberty Financial (WLFI). This partnership allows Ethena's sUSDe stablecoin to be used as collateral for WLFI's newly launched Aave-based lending platform. This collaboration provides strong support for Ethena's future development, particularly in the applications of stablecoins and decentralized finance (DeFi).

Furthermore, although whale sell-offs may have temporarily dragged down the ENA price, these partnerships and strategic projects suggest that Ethena may gradually regain its market position in the mid to long term. Investors remain optimistic about Ethena's future, especially as the market recovers, the price of ENA may rebound.

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