Ethena's token, ENA, surged significantly on Tuesday, rising nearly 20% intraday to around $0.1025 at one point. Along with the price rebound, 24-hour trading volume also increased to over $410 million, indicating a significant rise in short-term trading activity.
This surge was primarily driven by two new developments: first, Coinbase Ventures made its first purchase of ENA through an open market transaction; and second, Ethena partnered with Anchorage Digital to expand its business into the institutional lending market.
Coinbase buys ENA on the open market
Coinbase Ventures stated that it has purchased ENA through the open market and will support closer cooperation between Ethena and Coinbase and USDC. Compared to private placement investments, this purchase method is more easily interpreted by the market as a direct endorsement, thus quickly boosting sentiment towards the token.
The article states that the two companies are working on on-chain savings and financial products for Coinbase users. These products will integrate Ethena's synthetic dollar system into Coinbase's savings offerings, with the first rollout expected within days of the announcement.
Anchorage partners with institutions to enter the lending market.
In addition to Coinbase, Ethena has also partnered with Anchorage Digital. The two companies will leverage Anchorage's Atlas platform to build an off-chain lending framework for institutions.
According to the article, Anchorage is responsible for collateral custody, risk monitoring, and liquidation control, while Ethena is responsible for investing funds in lending. This allows asset management firms and trading companies to enter the crypto lending market without directly holding crypto assets.
Price rebound still faces pressure
From a market performance perspective, although the ENA rebounded strongly during the day, it has not yet escaped the downward trend over a longer period. The article mentions that the ENA is currently still below the 10-day, 20-day, 50-day, 100-day, and 200-day exponential moving averages, indicating that the overall structure has not yet fully strengthened.
Meanwhile, the 14-day RSI was 39.56, still within the neutral range, indicating that neither buyers nor sellers have gained a decisive advantage. Although the short-term trend has broken through some resistance levels, whether it can develop into a sustained reversal depends on whether subsequent capital and user growth can keep up.
It's worth noting that the total value locked in the Ethena ecosystem remains above $4.5 billion, and protocol usage has not declined in tandem with the token price drop. This situation—"protocol activity remains high, but token valuation is relatively weak"—is becoming a focal point for the market to reassess ENA.
