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Ethena [ENA], the stablecoin protocol known for its synthetic dollar USDe, is increasingly gaining traction beyond its core use case. However, recent activity by a wallet linked to the Ethena team has stirred investor concern, especially as ENA struggles to generate returns. A major token unlock and subsequent exchange transfers suggest the possibility of looming sell pressure.
Project Wallet Moves $5.68M Worth of ENA
A multisignature wallet associated with Ethena Labs recently transferred 17 million ENA—worth approximately $5.68 million—to Flowdesk. From there, Flowdesk directed 12.75 million ENA ($4.57M) to Binance, 2 million ENA ($667.8K) to Gate.io, and 2.25 million ENA ($751.3K) to Bybit. This movement followed a 171.88 million ENA unlock from the seed sale allocation, accounting for 2.82% of the total circulating supply. Such significant transfers to exchanges often precede sell-offs, heightening the risk of downward price pressure.
Whale 0x41Fc deposited 17M $ENA($5.41M) into #Binance, #Bybit, and #Gateio via Flowdesk ~40 minutes ago.https://t.co/rIxNZpIgko pic.twitter.com/qEJOnWsDMy
— Lookonchain (@lookonchain) June 5, 2025
Technical Reversal in Sight Despite 8% Drop
Following these transactions, ENA’s price dropped nearly 8% in 24 hours, as the market struggled to digest the sudden increase in supply. Despite the dip, technical indicators hint at a potential reversal. A rounded bottom pattern on the chart suggests gradual accumulation, potentially leading to an upward breakout if momentum builds. Key resistance levels lie at $0.7983, $0.9890, and $1.2635, while any decline below $0.30 could invalidate the bullish setup.
Coinbase Listing and Real-World Asset Expansion
Adding to the bullish narrative, Coinbase announced plans to list ENA on June 5th, contingent on liquidity conditions. The ENA/USD trading pair will roll out in phases, potentially boosting exposure and liquidity. Beyond exchange listings, Ethena Labs is collaborating with Securitize to develop a blockchain tailored to real-world assets (RWA). Institutional interest in RWA infrastructure is rising, with USDe nearing its previous $6 billion peak in May. Additionally, the protocol’s FDV-to-revenue ratio has dropped to cycle lows—indicating stronger valuations amid increased adoption.
As Ethena expands its use cases, investors will be watching closely to see whether technical support and real-world integration can offset current sell-side risks.
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
Also Read: Ethena (ENA) Forms Bullish Pattern, But Risks Mount
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