Ethena Surges 24% on DeFi Growth and Rising TVL

Ethena (ENA) has captured significant market attention as one of the top-performing cryptocurrencies in a cautious market environment, supported by a growing DeFi ecosystem and increasing retail investor participation. Following a brief correction to the $0.51 support level on Saturday, ENA rebounded 24% to $0.63, and as of writing, the price has stabilized above the critical $0.60 level. A daily close above this level could strengthen the bullish outlook and potentially push the price toward key resistance levels at $0.70, $0.75, and even $1.00 [1].

The DeFi ecosystem of Ethena has shown consistent growth over the past few months, with its Total Value Locked (TVL) reaching $9.54 billion, a nearly 100% increase from $4.72 billion on May 4. TVL serves as an indicator of investor confidence, as participants lock their tokens in smart contracts for staking and yield-generating purposes. The rise in TVL not only reflects long-term holding intentions but also reduces the circulating supply of ENA, potentially supporting further price appreciation [1].

Ethena’s USDe stablecoin has also experienced rapid growth, surging in market capitalization to $9.23 billion, making it the third-largest stablecoin after Tether’s USDT. USDe has grown by over 75% in the last 30 days, indicating strong adoption and utility within the Ethena ecosystem. This growth has further solidified the token's role as a decentralized, yield-bearing alternative to traditional stablecoins [1].

Futures Open Interest (OI) has also rebounded to above $1 billion, recovering from a recent dip to $916 million. OI reflects the total notional value of open futures or options contracts, and its increase suggests renewed bullish speculation among traders. Earlier this year, OI peaked at $1.35 billion, signaling strong conviction in Ethena’s price trajectory [1].

From a technical perspective, Ethena’s price holds above key support at $0.60 and remains above major moving averages, including the 50-day, 100-period, and 200-period EMAs. Should the price dip again, these levels could act as tentative support, preventing further declines toward $0.40. The Relative Strength Index (RSI) has rebounded slightly but remains near the 58 level, suggesting cautious sentiment in the broader market. A continued drop in RSI toward the midpoint could indicate profit-taking and reduced buying pressure, while a reversal toward overbought territory would reinforce the bullish outlook [1].

Recent data also highlights Ethena’s growing influence in the DeFi space. With TVL surpassing $10 billion, the Ethena ecosystem is increasingly viewed as a safe haven for investors seeking yield in a volatile market. The rise in TVL and stablecoin adoption reflects institutional and retail confidence, positioning Ethena as a leading player in the next phase of DeFi growth [2].

Analysts have noted that Ethena’s price surge of approximately 140% over the past month has outpaced many of its peers, making it a standout performer in a post-2024 bear market environment [3]. Manuel Guevarra, a market analyst, has emphasized that this growth, both in price and ecosystem adoption, represents a significant psychological and technical milestone for the token [5].

As the broader DeFi TVL remains stable, Ethena’s unique value proposition—combining a robust staking mechanism, a growing stablecoin, and strong retail and institutional interest—has positioned it as a key player in the crypto recovery narrative. The market now closely watches whether Ethena can maintain its upward trajectory and convert short-term momentum into long-term bullish trends [2][3][5].

Source: [1]https://www.fxstreet.com/cryptocurrencies/news/ethena-price-forecast-ena-leads-crypto-recovery-amid-steady-defi-tvl-202508041310 [2]https://www.binance.com/en/square/news/ethereum-news [3]https://t.signalplus.com/crypto-news/all [5]https://www.facebook.com/manuel.guevarra.369210/