Ethena holders have been floating in profits lately. The ratio of daily transaction volumes in profit compared to volumes in loss surged to 1.41 yesterday, hitting a new level not seen since the month began.
In simple terms, profitable transactions outweighed losing ones. This may be a sign that a large portion of the market was comfortably above its cost basis.
This development matters because profitable holders do not always rush to close open position. Instead, sometimes they do the opposite and choose to hold positions and maximize on more profits. As might be the case with ENA.
Are ENA whales behind the gains?
According to AMBCrypto’s analysis of recent derivative data, Ethena whales have been making moves too. For instance, the Future Average Order Size data hinted at a surging number of whale orders at the press time trading price.
That’s not all as retail participation has followed a similar path, with buying activity increasing alongside the broader uptrend.
This combination is worth watching as it seemed to highlight an even distribution of market orders. Both retail traders and big players seemed to have the same bias for the market structure at press time.
Such an alignment increases the chances of a follow-up explosive move for ENA.
Technical indicators align with bullish on-chain developments
On the daily chart, the altcoin’s price action still respected the bullish trend by bouncing off from an ascending trend line at $0.0770. It has been on a bullish trend since the Ethena network and Coinbase base partnership was announced back in June.
This price momentum was extended over the last 24 hours after it pushed past a key 20 Simple Moving Average (20EMA). At the same time, its Bollinger Bands divergence widened too, hinting at greater volatility in recent times.
If buyers and holders sustain the ongoing trend , the resistance level at $0.0985 could be the next target for ENA’s price action.
Next move may depend on holders
At the time of writing, the market bias appeared to be tilted in favor of buyers. Profitable transactions continued to dominate daily activity, whales remained engaged, retail traders were still participating, and technical indicators aligned with market bias.
For a trend that began with a venture investment announcement, that is more than a green flag for the network’s bulls and holders.
Final Summary
- ENA’s transaction volume in profit seemed to outweigh its loss-making volume, indicating that many holders were above their cost basis.
- Whale and retail participation rose as ENA traded above a key 20-day moving average and volatility began to expand.