Ethena (ENA) is gaining momentum as its price surged by 15.32% in the last 24 hours, pushing its market cap past the $1 billion mark. Currently trading at $0.3887, ENA has seen a 33.65% rise over the past week. Investors are now wondering whether this bullish trend will propel ENA to hit the $0.50 mark.
Inverted Head-and-Shoulder Breakout Rally
The recovery in ENA’s price shows a bullish breakout on the 8-hour chart, forming an inverted head-and-shoulders pattern. The price peaked at $0.41 before a minor pullback. According to Fibonacci levels, ENA is trying to maintain dominance at 61.80%, near $0.3918. Meanwhile, a potential golden crossover between the 50 and 200 EMAs suggests continued upward momentum.
Technical indicators, such as the MACD and signal lines, are also bullish, with increasing positive histograms further supporting the uptrend.
Proposal to Add Solana (SOL) as a Backing Asset for USDe
One major driver of ENA’s price surge is the Ethena team’s proposal to add Solana (SOL) as a backing asset for USDe. This proposal would expand Ethena’s hedging mechanisms, currently focused on Bitcoin and Ethereum futures, to include SOL and Binance and Bybit liquid staked SOL tokens. The Risk Committee is set to vote on the proposal within seven days.
Will Ethena’s Price Reach $0.50?
If the bullish trend continues, ENA could hit its next targets based on Fibonacci levels at $0.4431 and $0.5086. However, support levels at $0.3557 and $0.3196 provide caution for potential pullbacks.
