Ethena (ENA) is showing signs of a possible price reversal as the TD Sequential indicator has flashed multiple buy signals on the 4-hour chart. This suggests that a change in momentum could be on the horizon for the struggling token.
ENA’s Price Action: Can It Break Through Resistance?
At press time, ENA was trading at $0.4882, down 10.81% over the past 24 hours. The token has recently broken through multiple support levels and is currently testing a critical price floor at $0.4847. This level is pivotal—if it holds, ENA could reverse its downward trajectory and set its sights on key resistance levels at $0.5126 and $0.5657.
However, if ENA fails to maintain this support, further consolidation or additional downside could be expected. The coming days will be crucial in determining whether the asset can stage a recovery.
Surge in Addresses: Growing Investor Interest?
Despite the recent price decline, ENA has witnessed a surge in the number of addresses holding the token. Over the past week, new addresses holding ENA have increased by an impressive 238.94%, reflecting a growing interest in the asset.
Additionally, active addresses have surged by 97.84%, indicating that investors are choosing to hold onto their tokens rather than actively trading. This rising participation could provide long-term price support, reinforcing investor confidence despite recent bearish trends.
Market Activity: Insights from Transaction Data
Transaction statistics reveal a shift in market activity, with most transactions occurring in the $0.00 to $1,000 range. This indicates that retail traders are currently the primary market participants, while large investors remain on the sidelines.
The reduced transaction volume in higher-value ranges suggests that institutional interest is limited at present. However, if bullish momentum strengthens, larger investors may re-enter the market, fueling further price appreciation.
With 69.66% of ENA holders currently in profit, selling pressure may increase as the price nears resistance levels between $0.5126 and $0.5657. However, if buy signals from the TD Sequential indicator materialize into stronger momentum, ENA could stage a recovery.
For now, traders should closely watch the $0.4847 support level. A successful hold could pave the way for a bullish reversal, while a breakdown might signal further downside risk.
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) Eyes Rebound as Key Support Holds—Will a Breakout Follow?
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