# ENA Related Articles

Ethena's Stablecoin USDe Plunges by Half Following October Crypto Market Crash

The stablecoin USDe, issued by Ethena, experienced a significant decline, with its market capitalization plummeting by more than half from its October peak, dropping by $8.5 billion. This sharp decrease followed the major cryptocurrency market crash on October 10, which triggered record trader liquidations nearing $20 billion in nominal futures positions. Analysts from 10x Research noted that the crash eroded investor confidence in USDe's synthetic backing mechanism during periods of market stress. USDe, the fourth-largest stablecoin by market cap, is not directly backed by the US dollar but instead relies on a delta-neutral strategy involving positions like simultaneous long and short trades on assets such as Bitcoin. Despite being one of the sector's most profitable protocols with nearly $400 million in earnings since the beginning of the year, USDe's supply fell from a peak of $14.8 billion in early October to $6.3 billion by December 24. Ethena's native token, ENA, also suffered, declining 60% since October and nearly 80% year-to-date. In contrast, other major stablecoins in the top five saw growth or only minor, temporary declines during the same period.

RBK-crypto12/24 16:48

Ethena [ENA] under pressure – Will sellers force one last drop to $0.1315?

ENA remains under pressure after a major holder deposited 16.86 million tokens into Coinbase Prime, realizing an estimated $15 million loss. Despite the sell-side liquidity, price action near $0.14–$0.15 remained controlled, suggesting absorption rather than panic selling. However, the scale of losses reflects holder exhaustion. Technically, ENA trades within a descending channel, with sellers in control. RSI below 40 indicates weak momentum, and a drop toward the $0.1315 support zone is possible. A reclaim above $0.165 is needed to break the bearish structure. Despite price weakness, Spot Taker CVD remains positive, showing accumulation during declines, though demand appears defensive. Funding rates turned slightly positive, suggesting reduced liquidation risks but lacking bullish conviction. Liquidation maps show concentrated short leverage above $0.20, meaning upward moves could trigger significant liquidations. Overall, ENA remains biased downward, with a test of $0.1315 likely before any meaningful rebound. Recovery requires strong hold of support and a channel breakout.

ambcrypto12/23 14:02

Can Ethena hold $0.20 after 101M ENA flood exchanges?

ambcrypto12/21 03:02