Ethena (ENA) Has Posted a Sharp 21.46% Gain, Targeting the $0.35 Level

Ethena has posted a sharp 21.46% gain over the past week, rising to $0.3327 amid renewed market optimism and strong on-chain momentum.

Ethena (ENA) has shot up sharply over the past week, gaining 21.46% to reach $0.3327. The token is now attempting to rise above the psychologically significant $0.35 level.

On the daily chart, Ethena’s price broke out above the 21-day exponential moving average (EMA) on Monday, opening the door for further gains in the short term. A move above the 200-day SMA at $0.5892 could propel ENA towards the $0.5 level.

Image: Ethena (ENA) price chart by Tradingview

Ethena's price has rebounded strongly in recent weeks, suggesting a change in trend. This is also evident in the relative strength index (RSI) and Stochastic, which are both showing signs of overbought territory.

Moreover, ENA’s MACD has flipped positive, indicating that momentum is building after a prolonged downtrend since February.

Ethena's TVL Surpasses Market Cap

In other news, Ethena's total value locked (TVL) has surged past $4.82 billion, which rivals the project's own market cap in a testament to the deep liquidity and user activity within the ecosystem.

Considering a circulating supply of 5.55 billion ENA and a total supply cap of 15 billion, investor interest is clearly high. The current market cap/TVL ratio of 0.38 suggests that the project is undervalued relative to the liquidity it controls, especially since the decentralized stablecoin USDe underpins this ecosystem.

"This deep liquidity pocket provides excellent conditions for leveraged yield strategies, which are being actively deployed by DeFi users to amplify returns on their ENA and USDe holdings. These activities are directly impacting price trends and contribute to the ongoing bullish momentum in the Ethena ecosystem," the report noted.

A large portion, roughly 43.7%, of the $4.82 billion USDe supply is currently staked, with over $2.1 billion flowing into sUSDe, Ethena's staked stablecoin counterpart.

This high-stakes rate reflects confidence in the protocol's yield mechanisms and supports the synthetic dollar peg. Meanwhile, centralized exchanges hold 13.12% of the total USDe supply.

This equates to $632.6 million in liquidity spread across platforms like Bybit, Bitget, and MEXC. The steady inflow and outflow patterns across CEXs indicate active arbitrage and healthy capital cycling between DeFi and centralized venues.

One of the most significant catalysts for the Ethena price rally is the upcoming launch of Converge, a real-world asset-focused Layer 1 blockchain being built by Ethena in partnership with Securitize.

The project is designed to bridge traditional finance and DeFi using Arbitrum's modular stack, Celestia's data availability layer, and ENA staking for security via the Converge Validator Network (CVN). Transactions on Converge will be powered by Ethena's own stablecoins, USDe and USDtb, which will also serve as gas tokens.

With BlackRock's $2.3B BUIDL fund backing USDtb, institutional exposure is no longer a hypothetical. The CVN introduces discretionary circuit breakers and governance features, adding a layer of risk management uncommon in DeFi-native protocols.output: Ethena (ENA) price has shot up sharply over the past week, gaining 21.46% to reach $0.3327. The token is now attempting to rise above the psychologically significant $0.35 level.

On the daily chart, Ethena's price broke out above the 21-day exponential moving average (EMA) on Monday, opening the door for further gains in the short term. A move above the 200-day SMA at $0.5892 could propel ENA towards the $0.5 level.

[image: Ethena (ENA) price chart by Tradingview]

Ethena's price has rebounded strongly in recent weeks, suggesting a change in trend. This is also evident in the relative strength index (RSI) and Stochastic, which are both showing signs of overbought territory.

Moreover, ENA's MACD has flipped positive, indicating that momentum is building after a prolonged downtrend since February.

Ethena's TVL surpasses market cap

In other news, Ethena's total value locked (TVL) has surged past $4.82 billion, which rivals the project's own market cap in a testament to the deep liquidity and user activity within the ecosystem.

Considering a circulating supply of 5.55 billion ENA and a total supply cap of 15 billion, investor interest is clearly high. The current market cap/