Ethena Price Shoots 22% Amid Heavy ENA Accumulation by Arthur Hayes

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As a seasoned researcher with a knack for deciphering market movements, I find myself intrigued by the recent surge in Ethena (ENA) prices, driven largely by the buying spree of Bitmex co-founder Arthur Hayes. Having closely followed the crypto landscape since its inception, I’ve learned to read between the lines of such moves and their potential impact on the market.

Arthur Hayes, a co-founder of Bitmex, has been actively buying Ethana (ENA), causing the price to increase by over 22% in the past 24 hours. This is happening because Hayes is said to be transferring all his Aethereum (ATH) holdings to Ethana as part of a portfolio reorganization, following significant losses in ATH.

Ethena Price Skyrockets on Arthur Hayes Buying Spree

Currently, the price of ENA is surging by 22.50% and is being traded at $0.7502. This has caused its market capitalization to skyrocket to a staggering $2.13 billion. In the last two days, there have been significant withdrawals of ENA from Binance by Hayes, indicating his heightened involvement in the synthetic dollar protocol.

As reported by the blockchain monitoring service Spot On Chain, Hayes has just taken out approximately 10.36 million ENA tokens, equating to around $7.49 million. This latest withdrawal adds to his already substantial haul of 16.79 million tokens accumulated over the past two days.

Currently, each unit of ENA purchased by the co-founder of BitMEX costs an average of $0.66. This initial investment has led to a price increase for Ethena, resulting in an unrealized profit of approximately $1.14 million. This equates to more than a 14% appreciation in value for Ethena thus far.

On November 26th, Arthur Hayes sold off all his Aethir (ATH) shares following several months of ownership, resulting in an estimated loss of about $815,000. Yet, within just two days, he seized a promising investment opportunity in ENA and has already managed to recoup those losses, plus some extra unrealized gains.

As a researcher, I’ve recently noticed that the co-founder of BitMEX has been advocating for Solana-based meme coins, with FlowerAI (FLOWER) being his latest venture. Interestingly, he also saw significant profits from an early investment in Goatseus Maximus back in October last year.

ENA Bullish Momentum and Other Milestones

According to Coinglass statistics, the open interest for ENA has increased by 23% to reach $374 million, and the overall ENA liquidations have spiked to $1.29 million. This includes $335,000 in long liquidations and a significant $956,000 in short liquidations. Furthermore, the total value locked (TVL) on the Ethena blockchain has significantly risen to an impressive $4.09 billion.

The Ethena blockchain is experiencing significant growth due to its synthetic dollar USDe. This digital currency is supported by collateral in the form of Bitcoin (BTC) and Ethereum (ETH). Unlike traditional stablecoins, USDe comes with an inherent return on investment. Notably, the major derivatives platform Deribit has incorporated USDe as a type of cryptocurrency margin collateral.

Additionally, Ethena Labs marked a significant achievement by surpassing a 4 billion supply for USDe, yielding an astounding annual percentage return (APR) of 25% to its users. In September, the platform introduced its UStb stablecoin, which is backed by the financial titan BlackRock and Securitize.

Attention is focused on the ENA bulls, who must keep Ethena’s price above the robust support level of $0.75. If they succeed, ENA might be poised for another 33% increase to reach $1. Some investors even predict that ENA could potentially reach its record high of $1.5.

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2024-11-28 08:44