- Ethena (ENA) violated $0.55 after a 130% rally fueled a $360 million SPAC deal to establish the Stablecoinx Treasury Company.
- Stablecoinx will be listing it on Nasdaq, focusing on long-term ENA repurchases.
- Holds above $0.55 will bring a pullback risk to $0.20 with a goal of $0.91-$1.52 on the other hand.
Ethena (ENA) is shining the spotlight for an astounding price rally amid a game-changing SPAC deal that can redefine Altcoin’s long-term trajectory.
The Ethena Foundation has sparked widespread speculation about what the ENA will do next with the announcement of a $360 million financial initiative, including a merger with Spac Tlgy Acquisition Corp.
The merger coincided with a sharp recovery in ENA prices. This has recently skyrocketed over 130% from its June low, flying beyond its significant $0.5892 midrange resistance.
SPAC trading has fueled investors’ excitement
On July 21, the Ecena Foundation announced that it had merged with Tlgy Acquisition Corp to launch Stablecoinx, the Crypto-Native Treasury Company, which will publish Nasdaq under the Ticker USDE.
The newly formed company is responsible for the accumulation of the ENA’s long-term strategic reserve, backed by $360 million in pipe funding, including a $60 million commitment from the foundation itself.
Top crypto investors like Dragonfly, Pantera Capital, Galaxy and PolyChain have also joined the deal to strengthen their trust in the potential of ENA as a long-term ecosystem token.
Revenues not only fund token accumulation, but also allow Stablecoinx to run the Validator Infrastructure and staking services of the Ethena protocol.
Ecena is already positioned as the digital dollar issuer on-chain digital dollars, tracking only tethers and circles.
Ecena price technical breakout signals change momentum
When news of the Stablecoinx launch broke, ENA’s market response was quick and bullish, pushing both the downward resistance line and the key horizontal resistance at $0.42 to push the token forward.
Prices have historically defined bull or bearish continuation, pushing above key decision levels at $0.55, a mid-range resistance that reached an intraday high of $0.6056.
If ENA succeeds in closing over $0.55 with volume support, it could ignite a $0.91 push in April 2024, and a potentially all-time high of $1.52.
However, if a price is rejected at this level, traders may witness a corrective move to a low in the near $0.20 range, a zone that could present an attractive opportunity for re-accumulation.
Momentum indicators such as RSI and MACD are clearly in bullish territory, with no signs of bearish divergence yet. It suggests that Larry still has legs.
Market fundamentals strengthen the case of Energ
Beyond price action, the ENA market foundation has improved dramatically, with current prices of $0.5377 and 30-day profits exceeding 105%.
The circulating supply of ENA of 6.35 billion is more than 42% of the total supply, but the token boasts a robust market capitalization of $3.38 billion and a TVL of $6.35 billion.
Daily trading volumes have skyrocketed to $1.5 billion, reflecting the growing liquidity and increased investor interest after SPAC’s announcement.
Ethena’s USDE is a synthetic dollar backed by a delta hedge strategy, regaining a $6 billion supply. This was seen last at its peak, further increasing the confidence of the community.
In the short term, Ecena’s price outlook will depend heavily on price behavior at a $0.55 resistance and whether Stablecoinx’s NASDAQ list proceeds without delay.
