ENA, the native token of Ethereum-based synthetic dollar protocol Ethena, is today’s top-performing crypto assets. It is currently trading at $0.60, and its price has risen 11% in the past day.
The rally follows a sharp increase in the circular supply of USDE, a stubcoin imposed in Ecena’s synthetic dollars. Adjusting the bullish technical indicators makes it seem that ENA is poised to continue climbing in the short term.
ENA has recorded $8.73 billion as USDE supplies are recorded
According to data from Etherscan, USDE’s distribution supply was an all-time high of $8.73 billion, an increase of more than $3.4 billion since July 16th.
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This increase reflects an increasing number of users adoption and increased capital inflow into the protocol as more investors seek dollar exposure that generates stable yields.
The rise in Stablecoin Supply has heightened positive sentiment around ENA, despite the wider market situation remaining uncertain and unstable. Its prices are up double digits today, with key technical indicators pointing to bullish momentum rising.
Enna’s momentum builds despite recent dips
Technical reading from the ENA/USD 1-Day Chart reveals that the token’s BBTREND (Bollinger Band Trend) indicator has printed a series of green bars that have grown steadily since June 29th.
This stable accumulation occurred despite the ENA price having experienced a downward trajectory over the past week. In the context, today’s rally shows the most significant price improvements the tokens have seen in that period, indicating a potential reversal.
When the bbtrend bar expands while the price is integrated, it reflects the potential bullish pressure that will eventually surface. If this momentum applies, the ENA may be ready to make more profits in future sessions.
Furthermore, the relative strength index (RSI) of the token confirms this bullish outlook. At the time of writing this article, this momentum indicator is 62.12, and is on an upward trend.
The RSI indicator measures the market conditions for asset acquisitions and overselling. It ranges from 0 to 100. Values above 70 suggest that the asset is over-acquired and paid for a price drop, while values below 30 indicate that the asset is over-sold and may witness a rebound.
ENA’s RSI measurements indicate that market participants prefer accumulation over distribution. If this trend continues, its prices may continue to rise in the short term.
Ena Bulls is targeting $0.77, but can they overcome this important barrier?
At current prices, the ENA is below key resistance level at $0.64. This important price range could determine Altcoin’s next move.
As bullish momentum continues to increase and buyback pressures continue to increase, breakouts above this level could push the ENA towards key resistance around $0.77.
However, if demand weakens or market sentiment changes, the ENA could face pullbacks and diminish towards the $0.48 support zone.
Post Ethena (ENA) is leading the market profits as USDE supply first hits emerged the best ever.
