Ethena (ENA) is navigating a volatile trading phase as post-hype market reactions weigh on the token’s momentum, raising questions about its next major directional move.
After a powerful October rally fueled by optimism surrounding Terminal Finance’s success, Ethena now faces renewed selling pressure. Traders and analysts are closely monitoring whether the digital asset can stabilize above key technical levels—particularly the $0.39 support zone—before attempting a fresh rebound toward $0.66 resistance.
Ethena Crypto Faces “Sell-the-News” Reaction After Terminal Finance Surge
Ethena crypto (ENA) is undergoing a notable pullback following its strong October performance. The token, which had rallied above $0.53 earlier this week, fell by nearly 9% in the past 24 hours to trade near $0.397 as of October 31, 2025. The decline comes on the heels of Terminal Finance’s successful pre-launch, which raised over $280 million in deposits—a development that initially lifted investor sentiment but soon triggered a classic “sell-the-news” wave of profit-taking.
Ethena bridges CeFi and DeFi, using its $15B USDe ecosystem to link institutional capital with on-chain yield opportunities via Terminal’s forthcoming trading platform. Source: Terminal Finance via X
Despite short-term market fatigue, Ethena’s on-chain fundamentals remain strong. The project’s total value locked (TVL) stands around $9.8 billion, while annualized protocol fees exceed $500 million, making Ethena one of the top-earning decentralized stablecoin protocols in the DeFi ecosystem.
Profit-Taking and Market Fatigue Pressure ENA Price
Market data from CoinGecko shows ENA has dropped 6.7% over the past 24 hours and 15.5% across the week, reflecting broader weakness in the altcoin market. Analysts suggest that recent selling pressure may be driven more by short-term traders taking profits rather than structural issues within the Ethena ecosystem.
Ethena’s ecosystem milestone with Terminal Finance was fundamentally bullish; however, momentum exhaustion after the rally prompted traders to lock in gains.
Daily trading volume declined by about 8% to $361 million, while liquidity across exchanges also thinned slightly—typical signs of temporary profit-taking rather than long-term bearishness.
Technical Outlook: Ethena Nears Key Support at $0.39
On-chain data from Glassnode’s cost-basis heatmap shows $0.34 and $0.45 as critical support levels, with major resistance at $0.66. Ethena currently trades between these zones, hovering near its 7-day and 30-day moving averages, which have begun to flatten.
The token’s Relative Strength Index (RSI) sits around 41, signaling it is approaching oversold conditions. This could invite short-term buyers if market sentiment steadies. “A sustained defense of the $0.40–$0.45 range could pave the way for a relief rally,” noted Ali, a prominent on-chain analyst on X.
Key support levels for Ethena (ENA) are $0.45 and $0.34, while major resistance is observed at $0.66. Source: Ali Martinez via X
Momentum indicators show early signs of stabilization. The 1-hour oscillator recently printed a reversal signal, hinting that short-term recovery attempts may emerge if support holds.
Market Sentiment and Broader Context
The Crypto Fear & Greed Index has slipped into “Fear” territory at 34, suggesting traders remain cautious amid weaker altcoin performance. ENA, often considered a high-beta asset, has been more sensitive to Bitcoin’s dominance and shifting liquidity conditions.
Token Terminal data ranks Ethena third among decentralized stablecoin issuers, trailing only Tether and Circle, with $41.5 million in fees generated over the past 30 days. These figures underline Ethena’s financial resilience despite short-term volatility.
Analyst View: Potential for Long-Term Upside
While the near-term price action looks uncertain, analysts like Ali (@ali_charts) maintain a constructive long-term view. “If ENA forms a higher high after this correction, it could still target levels near $1.30,” Ali noted, emphasizing that market structure remains intact for a potential upside continuation.
For now, traders are watching whether Ethena crypto can maintain stability above $0.39. A decisive break below this level could expose the next support at $0.34, while a rebound toward $0.50–$0.55 may signal renewed confidence.
Looking Ahead: Ethena Balances Between Consolidation and Recovery
Ethena (ENA) finds itself at a critical juncture. With strong fundamentals, rising ecosystem adoption, and robust revenue streams, the project’s long-term outlook remains promising. However, short-term caution persists as the market digests recent gains.
Ethena was trading at around $0.40, down 6.74% in the last 24 hours at press time. Source: Brave New Coin
If buyers defend the $0.39–$0.45 support zone, Ethena could soon regain momentum toward the $0.66 resistance, potentially setting the stage for its next major rally in November.