- ENA’s price has declined 80% since September, facing pressure amid large token unlocks and volatile crypto markets.
- Over 200 million ENA tokens were released in early November, with approximately 45% of the total 15 billion supply now unlocked.
- All tokens are set to be fully unlocked by April 2027, potentially keeping downward pressure on ENA’s price.
- Ethena’s USDe stablecoin and a recent “fee-switch” mechanism are seen as key growth drivers for the project.
Ethena’s governance token ENA continued to slide this week, trading near $0.31 on Thursday and marking an 80% drop from its high above $1 in September. The decline follows a major token unlock, which released over 200 million ENA tokens in early November. This influx has increased selling pressure during an already volatile phase for the crypto sector.
According to data, around 45.4% of ENA’s total 15 billion token supply—approximately 6.81 billion tokens—has now entered the market. Early November’s unlock allocated about $60 million to the project’s core developers, while the remaining tokens went to early investors. Another 5.99 billion ENA, or about 39.9% of the total supply, remains locked. The unlock schedule for an additional 2.02 billion tokens is not yet finalized. The full release of all tokens is set for April 2027, with more scheduled to enter secondary markets through 2026.
Retail interest around ENA remains cautious. Recent data showed that sentiment on social platforms was trending bearish, and the token lost around 2.7% in value over the last 24 hours.
Market analysts highlight that Ethena’s long-term prospects are tied more closely to its own USDe stablecoin rather than the ENA token itself. According to DefiLlama data, USDe holds a total value of $8.9 billion. The stablecoin uses a system that combines Ethereum liquid staking derivatives with short perpetual contracts, helping it become the third-largest stablecoin by market size after Tether (USDT) and USD Coin (USDC).
In September, Binance listed USDe and activated the protocol’s “fee switch.” This feature triggered a $500 million buyback, intended to help support ENA’s price by taking tokens out of circulation. Bitmex co-founder Arthur Hayes, who holds more than five million ENA tokens valued around $1.5 million, called the move potentially transformative, according to data.
Despite a recent listing of ENA on Robinhood, the large and ongoing supply of newly unlocked tokens may pose ongoing price pressure. Over the next two years, billions of additional ENA tokens are scheduled to be released, a key challenge for recovery in the token’s market value.
✅ Follow BITNEWSBOT on Telegram, Facebook, LinkedIn, X.com, and Google News for instant updates.
Previous Articles:
- Zcash Token Surges Past $500 on Privacy Support Boost
- Russia-Aligned Hackers Use Fake ESET to Target Ukraine Entities
- Prediction Markets Bet $1.1M on Elon Musk’s Tesla Pay Package Approval
- Aave Horizon Adds VanEck’s VBILL Tokenized Fund Collateral
- Bitdefender Named Representative Vendor in Gartner MDR Guide 2025
