$ENA

Trading strategy

A **trading strategy** for **Ethena (ENA)** would involve both technical and fundamental analysis to optimize entries and exits. Here’s a breakdown of an effective strategy based on the current market conditions and chart patterns:

### **1. Entry Strategy:**

- **Breakout Entry**: As ENA approaches the critical resistance zone ($0.96–$1.03), watch for a **bullish breakout** above this range. If the price closes above $1.03, it could signal a new uptrend with the potential to reach **$1.46**.

- **Support Entry**: If ENA experiences a pullback towards support levels around **$0.80**, this could present a good **buying opportunity** if the price shows signs of stabilization or upward momentum.

- **RSI Confirmation**: While the RSI is currently above 70 (overbought), a **pullback** may be expected. If RSI dips below 70 and the price holds above support, this could be a safer entry point.

### **2. Position Size:**

- **Risk Management**: Start with **small position sizes**, especially if entering after a breakout, to limit exposure in case of false signals or market reversals. Using a **stop-loss** just below support levels like **$0.69** will help manage risks.

### **3. Exit Strategy:**

- **Profit Targets**: Set clear profit-taking targets:

- Short-term: Target **$1.46** if ENA breaks key resistance.

- Medium-term: If the price continues to rise, consider **$2.50** as a mid-term goal.

- Long-term: Hold for a larger breakout to **$4.91**, especially if long-term bullish momentum is confirmed.

- **Trailing Stop**: Once ENA moves past **$1.46**, set a **trailing stop** to lock in profits while allowing the position to grow in case of further upward movement.

### **4. Risk Management:**

- **Stop-Loss Orders**: Place a **stop-loss** below key support levels, around **$0.69**, to protect from a sharp market pullback.

- **Regular Monitoring**: Keep an eye on major developments within the DeFi space and broader crypto market sentiment, as this can impact price movements.