ENA Analysis: Potential Contender in the Innovative Stablecoin Space?
First, I believe that the fundamentals of ENA are very strong. Stablecoins are gradually moving towards financial mainstream, and the global demand for stability is continuously growing, especially in countries with high inflation or economically unstable regions. In the future, I believe that the overall market value of stablecoins is expected to reach a growth potential in the trillions of dollars.
The project behind ENA, Ethena, uses a Delta hedging strategy to achieve the stability of its synthetic dollar USDe and incentivizes users through a reward mechanism. This approach differs from traditional stablecoins, with the goal of building a: "completely decentralized, censorship-resistant, yield-generating synthetic dollar system."
Of course, Ethena's innovative model also brings a series of risks. From the token structure perspective, currently only about 40% of ENA is circulating, which poses a risk of sell pressure due to continuous unlocking in the future.
My summary of viewpoints:
1. The market value and user base of USDe are expected to continue rising, with overall long-term potential;
2. Current technical charts indicate that ENA is still in a correction trend;
3. 0.26 is an important support level, but I believe it may continue to test 0.20;
4. Given its long-term value and innovative potential, small low-cost entries can be considered, with good position control.
DYOR – Not financial advice.
