Ethena label remained below stress this weekend after USDe, its stablecoin, briefly misplaced its peg, and its bullish liquidations jumped.
- Ethena label has remained below stress in the past few days.
- The developers maintained that the USDe stablecoin used to be over-collateralized.
- Technical analysis parts to more downside over time.
Ethena (ENA) token used to be procuring and selling at $0.3670, up by 156% from its lowest level on Friday. It stays about 60% of its perfect point in September.
Whales have sold the ENA dip
Ethena label crashed by double digits on Friday, reaching its lowest level on yarn as effectively as crypto market tumble accelerated. It additionally suffered a $226 million liquidation event as exchanges shut down leveraged trades amid the intensifying sell-off.
Third-event recordsdata issue that whale traders have bought all over the unusual dip, suggesting they inquire the ENA label to rebound sooner or later. In accordance to Nansen, whales now preserve forty five.2 million tokens, up from the Friday low of 39.19 million tokens.
USDe Proof of Reserves are in overall offered on a weekly foundation by third event self reliant attestors in conjunction with leading firms comparable to Chaos Labs, Chainlink, Llama Menace and Harris & Trotter.
On request from the neighborhood, we have offered a Proof of Reserves outdoor of the atypical… pic.twitter.com/6w0HONPc8Q
— Ethena Labs (@ethena_labs) October 11, 2025
More recordsdata shows that the head 100 addresses boosted their holdings to 13.76 billion, up from this month’s low of 13.67 billion.
Whales likely sold after the crew revealed reports showing that the Ethena USDe stablecoin, which has over $12.5 billion in property, used to be adequately collateralized after shedding its peg.
In a screen, the developers said that the proof of reserves, which could well additionally be offered by third-event firms like Chainlink, HT Digital, and HT Digital confirmed that it used to be overcollateralized by about $66 million.
In accordance to its transparency recordsdata, the USDe stablecoin is backed by property like Bitcoin, Ethereum, and liquid stablecoins. These property are held by firms comparable to Binance, Bybit, OKX, and Deribit.
Ethena has repeatedly been in the spotlight, as some traders soundless recall Terra, which offered a stablecoin with double-digit yields. It crashed in 2022, costing traders over $40 billion and unfavorable the recognition of other algorithmic stablecoins.
Ethena label technical analysis
The each day chart indicates that the ENA label plummeted an excellent deal final week. This shatter occurred after the asset formed a double-top sample at $0.8538 and a neckline at $0.6060, its lowest level since August. A double-top is one among the most overall bearish patterns in technical analysis.
The token has plunged below the 50-day and 200-day Exponential Transferring Averages. It additionally moved briefly below the year-to-date low of $0.2221.
Therefore, the perchance Ethena label forecast is bearish, with the initial target being at $0.2221. One other scenario is the place it kinds a needless-cat bounce, a brief rebound that in the wreck results in extra downside.
