Ethena holders have recently seen profits. The ratio of daily profit-to-loss trading volumes jumped yesterday to 1.41, reaching a new level not seen since the start of the month.
Simply put, profitable trades outweighed losing trades. This may be a sign that much of the market was comfortably above its cost basis.
This development is important because profitable holders do not always rush to close open positions. Instead, they sometimes do the opposite and choose to hold positions and maximize their profits. As could be the case with the ENA.
Are ENA whales behind the gains?
According to AMBCrypto’s analysis of recent derived data, Ethena’s whales have also been making moves. For example, data on average future order size hinted at an increase in the number of whale orders at the trading price at the time of publication.
That’s not all, as retailer participation has followed a similar trajectory, with purchasing activity increasing alongside the broader uptrend.
This combination is worth watching as it appears to highlight an even distribution of market orders. At press time, retail traders and large players appeared to have the same bias toward market structure.
Such alignment increases the chances of an explosive follow-up move for the ENA.
Technical indicators align with bullish on-chain developments
On the daily chart, the altcoin’s price action still respected the uptrend by bouncing off an ascending trendline at $0.0770. The trend has been bullish since the announcement of the partnership between the Ethena network and the Coinbase base in June.
This price momentum has extended over the past 24 hours after breaking above a key simple moving average (20EMA) of 20. At the same time, the divergence of the Bollinger bands has also widened, suggesting greater volatility of late.
If buyers and holders continue the ongoing trend, the resistance level at $0.0985 could be the next target for ENA price action.
The next move may depend on the holders
At the time of writing, the market bias appeared to be tilting in favor of buyers. Profitable trades continued to dominate daily activity, whales remained engaged, retail traders still participated, and technical indicators aligned with market biases.
For a trend that started with a venture capital investment announcement, this is more than a green flag for bulls and network holders.
Final summary
- ENA’s profit trading volume appeared to exceed its loss volume, indicating that many holders were above their cost basis.
- Whale and retail participation increased as ENA traded above a key 20-day moving average and volatility began to pick up.
