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Ethena (ENA), the synthetic dollar protocol built on Ethereum, is facing steep selling pressure as it plunges nearly 16% in the last 24 hours, trading at $0.3012. The sharp decline comes just days before a substantial token unlock scheduled for April 5 at 07:00 AM UTC, when 171.88 million ENA tokens—worth approximately $52.98 million—will be released into circulation. This accounts for 3.25% of the current circulating supply and is expected to add further downward pressure on the price.
Despite the drop in value, trading volume has surged by 110.42% to $301.81 million, signaling heightened market activity and anticipation of increased volatility. Ethena’s market capitalization has fallen to $1.62 billion.
This latest unlock follows closely behind another on April 2, when 40.63 million ENA tokens—valued at $12.52 million—were added to the circulating supply. That release, amounting to 0.77% of the supply, coincided with a noticeable dip in ENA’s price, indicating investor sensitivity to unlock events.
Currently, Ethena’s token distribution shows 51% (7.65 billion ENA) still locked, 13.49% (2.02 billion ENA) yet to be determined, and 35.51% (5.33 billion ENA) already unlocked.
The broader crypto market is also under pressure, adding to ENA’s woes. The global crypto market cap has declined by 2.48% to $2.65 trillion. Bitcoin has dipped below $83,000, while Ethereum has fallen under the $1,800 mark. The downturn is being partially attributed to rising macroeconomic concerns, including market jitters over Donald Trump’s tariff policies, which are stirring fresh uncertainty across traditional and digital asset markets.
Also Read: Ethena (ENA) Faces Volatility: Trump-Linked Selloff and Token Unlocks Shake Market
Ethena aims to provide a crypto-native alternative to traditional finance through its dollar-denominated “Internet Bond,” designed as a globally accessible savings product. However, with another major token unlock looming and market sentiment turning increasingly risk-averse, traders are preparing for choppy waters ahead.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
