Today, more than 40 million ENA tokens have been unlocked, sparking widespread expectations for a sudden price pull.
However, the expected sale did not come to fruition. Ecena’s native tokens show significant resilience. An enhanced bullish bias allows Altcoin to register new profits.
Once the 40 million tokens are unlocked, the trader loads into the ENA
Nearly 41 million ENA tokens, more than $12 million at current market prices, were unlocked around 7am Monday, according to Tokenomist.
The Ethena token has unlocked a significant increase in circular tokens, but ENA has only slipped 1% in the last 24 hours. This muted response suggests that bullish emotions between the token holders absorb additional supply and prevent deeper reductions.
At the time of this writing, open interest in ENA futures has increased by 2%, indicating an increase in trader participation. It currently costs $387 million.
Open profit refers to the total number of outstanding derivative contracts, such as unresolved futures and permanent swaps. An increase in OI indicates that new money is entering the market, which could reflect a growing interest and belief among traders.
In the case of ENA, an increase in OI suggests that traders are opening more positions in anticipation of rebound or sustained stability despite the token being unlocked.
Furthermore, token funding rates are positive, indicating high demand for long positions. At the time of pressing, ENA’s funding rate was 0.0059%.
Funding rates are periodic payments exchanged between long and short traders in permanent futures markets to match contract prices with spot markets. If the funding rate is positive, traders with long positions pay for people with short positions.
Next move for ENA: Supporting retest or rally to $0.41?
The ENA is currently trading on a support floor formed at $0.24 with hands exchanged for $0.30. If bullish pressure is increased, the token can climb to $0.37.
If this resistance breaks, it could push the price of the Enera to $0.41.
However, if the selloff gains momentum, the price drop for ENA could go deeper to $0.24.
Disclaimer
In line with Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. Although Beincrypto is committed to accurate and unbiased reporting, market conditions are subject to change without notice. Always carry out your research and consult with an expert before making any financial decisions. Please note that our terms and conditions, privacy policy and disclaimer have been updated.
