- Whale wallet accumulated $4.41M in ENA, as 93.88% of holders remain underwater.
- Derivatives volume jumped 110%, but liquidation data reveals weak bullish conviction.
A newly created multisig wallet has accumulated 14.57 million ENA, worth $4.41 million, from Binance and Bybit.
This strategic consolidation signals growing whale interest, especially during a period of heightened market caution.
The tokens were sent to a Gnosis Safe, implying long-term custody intentions rather than short-term trading. This move follows Ethena’s [ENA] recent 11.3% price rebound to $0.3379.
However, such inflows into a fresh wallet raise questions about market confidence and whether this accumulation could mark a shift in the ongoing downtrend or merely reflect isolated sentiment.
Will underwater holders limit ENA’s rebound potential?
Despite the recent accumulation, 93.88% of ENA holders remain “out of the money,” reflecting broad unrealized losses across the market.
Only 0.39% are currently in profit, while 5.73% held at breakeven. With the current price hovering around $0.3379, many investors are trapped above the $0.35–$0.50 range.
This bearish cost basis distribution presents a supply overhang that could limit recovery momentum, especially if frustrated holders decide to exit during short-term price pumps.
Therefore, ENA must overcome strong psychological and technical resistance to sustain its upward movement.
Source: IntoTheBlock
Is whale interest fading after a massive netflow spike?
Large holder netflows rose by an explosive 10,659% over the past thirty days, showing massive accumulation in May.
However, in just the last seven days, the trend reversed sharply, crashing by -1982%, indicating possible distribution or inactivity.
This dramatic shift highlights volatility in whale behavior and a lack of consistent confidence in price direction. The 90-day change remains strong at +430%, yet the recent drop suggests caution.
If whales do not resume accumulation, ENA could struggle to attract fresh liquidity or sustain its latest price rebound.
Source: IntoTheBlock
Is rising derivatives activity a bullish or risky signal?
ENA’s derivatives market shows significant growth in activity. Trading volume surged 110.53% to $900.84 million, while Open Interest rose by 10.66% to $430 million.
These metrics suggest heightened trader engagement and speculative interest, especially after the recent price bounce.
However, such spikes can often precede volatility, particularly when not backed by strong spot demand.
Liquidation data shows that $245.23K in short positions were wiped compared to $136.35K in longs, suggesting short squeezes partially fueled the rebound.
Binance and Bybit saw the highest liquidation volumes. However, the liquidation spread isn’t wide enough to confirm strong bullish conviction. Instead, it highlights opportunistic trades during price swings.
Source: CoinGlass
Will support near $0.25 continue to hold under pressure?
Technically, ENA continues to respect its broader consolidation range, bouncing from the lower support near $0.25. The stochastic RSI is near the oversold region, showing potential for upward continuation.
Moreover, the recent price rise aligns with a high-liquidation zone seen around $0.33–$0.34. Despite that, strong resistance remains below $0.50.
For ENA to break out of its long-term downtrend, it must not only hold the $0.25 floor but also reclaim key zones with increased buying volume and market conviction.
Source: TradingView
While whale activity and rising derivatives interest offer short-term optimism, ENA’s rebound faces strong resistance from underwater holders and inconsistent large-holder flows.
A sustainable breakout will depend on renewed accumulation, rising spot volume, and a shift in overall investor sentiment.
