ENA Smashes Sell-Off Panic as Futures Traders Trigger 17% Price Surge

Futures traders just flipped the script—while retail investors were bracing for a dump, ENA ripped upward on pure derivatives demand. No fundamentals, just leverage and hopium.

How? Whale-sized long positions piled up as shorts got squeezed into oblivion. Classic crypto casino behavior—where price action defies logic and liquidations fuel the fire.

Bonus cynicism: Another day, another token mooning because someone with too much margin decided to YOLO. The ’free market’ at work.

Spot and whale traders sell off

There has been a major sell-off of ENA in the past 24 hours, driven by spot traders and large investors. This move seemed to be somewhat unusual though, especially as the market is continuing to rally.

Source: Coinglass

Coinglass’s Exchange Netflows, which measure the inflow and outflow of an asset on exchanges to determine buying or selling activity, indicated that selling is currently dominant. At press time, $2.26 million worth of ENA had been sold across the market.

Similarly, the selling trend seemed to have extended to large investors who held a significant portion of the asset. At the time of writing, these investors had sold 4.18 million ENA worth $1.42 million. 

Source: IntoTheBlock

Concurrently, selling pressure from retail traders and whales implied that the market may be highly bearish and might note a decline.

However, the sustained rise in ENA’s price suggested that these cohorts are likely just taking profits.

Which market cohort is driving ENA higher?

Analysis also revealed that while spot traders and whales have remained bearish, derivative traders have maintained a bullish position. Especially since all key metrics flashed signs of upside.

Open Interest and the long-to-short ratio climbed simultaneously too. This suggested that unsettled derivatives contracts in the market have been dominated by buyers who are currently leading overall trading volume.

Source: Coinglass

Open Interest surged by 12.86% to $373.14 million, while the overall long-to-short ratio hit 1.0194. Binance traders maintained the highest buying volume during this period, as their long-to-short ratio climbed to 2.0377.

Additionally, derivative traders who bet against ENA’s rally suffered significant losses too as their positions were liquidated. In total, $905,890 worth of short positions were removed from the market.

Source: Coinglass

Data showed that from a low of $334.86 million on 20 April, overall volume in the derivatives market climbed to $662.46 million – Nearly double.

This seemed to be a strong indication that buying activity has dominated the market over recent days.

Fundamentals behind ENA’s surge

Strong fundamentals seem to be supporting ENA’s rally too. 

Here, one key driver has been a recent analysis by ENA’s team comparing the performance of its yield-bearing synthetic dollar, sUSDe, against fully funded Bitcoin (BTC), 3-month T-bills, the S&P 500, and Ethereum (ETH). 

Source: Ethena

According to the same, sUSDe outperformed all these asset classes in terms of yield. This outperformance may have boosted investor confidence in ENA, encouraging more traders to open long positions.