Ethena’s ENA stays bearish despite new partnerships – Watch THIS zone!

Ethena was in the news recently when Ethena Labs chose to partner with Kraken, the popular centralized exchange, to support custody of backing assets for USDe.

Selecting Kraken Custody reflected the protocol’s “commitment to scaling USDe on infrastructure built to meet institutional expectations”, said Guy Young, Founder of Ethena.

A recent AMBCrypto report also noted that the launch of JupUSD on the Solana network marked the latest Ethena Whitelabel stablecoin to go live. These developments were not enough to significantly boost ENA prices.

ENA’s long-term trend hasn’t changed

Source: ENA/USDT on TradingView

The 1-day chart showed that a bullish trend was not established on this timeframe.

After the brief relief rally at the start of January, the losses of the past week reinforced how the bears were in control overall.

Moreover, the A/D indicator has been steadily falling since September 2025, when Ethena [ENA] token prices met stiff opposition at the $0.85 supply zone. This was further proof that the volume was seller-dominated.

In fact, the recent price bounce to $0.26 briefly saw the Directional Movement Index reflect an uptrend in progress. The correction since then saw the indicator fall into indecisive territory.

This was a sign that the bearish trend was not as overwhelmingly strong as it had been in October and November, but it was not in support of the bulls either.

What could break ENA bulls out of torpor?

The recent news developments clearly had little effect on the long-term price charts. A market-wide bullish sentiment shift is required, which Bitcoin [BTC] might inspire with a move past $100k.

Traders’ call to action- Sell the bounce

This can be risky if Bitcoin bulls decide to send prices soaring past the $94.5k resistance zone.

However, based on the evidence at hand, ENA traders have the option to sell any price bounce toward $0.24, which is also in agreement with the longer-term downtrend.

Source: CoinGlass

The most recent price dip to $0.217-$0.213 swept a cluster of long liquidations and bounced to $0.22. To the north, a small magnetic zone was gathering strength at $0.228, and another just above $0.24.

Traders can use a bounce to either of these clusters of short liquidations to go short, with $0.24 being the target more likely to yield a bearish reaction.

The $0.21 area would be the target, with invalidation above $0.25.

Final Thoughts

• The Ethena price action was bearish in the long-term with sustained selling pressure since September.
• Traders can wait for a short squeeze to $0.24-$0.25 before considering selling ENA.

Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.