Ethena Price Forecast: ENA Nears Critical Breakout as Bullish Momentum Accelerates Ahead of Token Unlock

Ethena's ENA token teeters on the edge of a major price explosion as bullish indicators align perfectly with looming token unlock events.

Technical Breakout Imminent

ENA consolidates at key resistance levels as trading volume spikes 40% overnight. The token's chart pattern mirrors previous breakout scenarios that preceded 200%+ rallies, with whales accumulating positions ahead of what analysts call 'the perfect storm setup'.

Unlock Event Double-Edged Sword

September's token unlock threatens to inject selling pressure just as technicals scream bullish. Historically, Ethena unlocks created temporary dips followed by massive rallies—traders who panicked during previous unlocks missed 300% gains within 30 days.

Market Momentum Builds

Futures open interest hits record highs while funding rates remain positive, indicating sustained bullish sentiment without excessive leverage. Retail FOMO hasn't even begun—most traders still focus on Bitcoin's movements while smart money quietly positions in ENA.

Because nothing says 'healthy market' like traders cheering for inflation data that might let them retire by next quarter.

Ethena token unlock poses a risk

The short-term recovery in Ethena this week remains intact after the 40.63 million ENA unlocked on Tuesday, which accounted for 0.64% of the circulating supply. This suggests the improvement in investors' confidence, preventing a quick supply dump. 

However, the upcoming token unlock of 171.88 million ENA worth $119.54 million on Friday, which accounts for 2.69% of circulation, could increase the overhead supply. The Core contributors of Ethena will receive 93.75 million tokens, while the remaining tokens will be distributed to investors. 

ENA token unlock. Source: Tokenomist

Ethena nears consolidation range breakout as bullish momentum resurfaces

Ethena marks the third consecutive day of uptrend, inching closer to a consolidation range breakout on the 4-hour chart. A clean push above the $0.6911 resistance level, which acts as the upper ceiling of the consolidation range, WOULD extend ENAs’ recovery run. This potential breakout rally could target the $0.7533 level, reached on August 23.

Adding to the breakout anticipation, CoinGlass data indicates a 5% rise in ENA Open Interest (OI) to $1.34 billion, from $1.27 billion on Tuesday. This significant capital inflow of $60 million suggests increased interest from traders entering the ENA derivatives market.  

ENA Open Interest. Source: Coinglass

The recovery run witnesses a shift in trend momentum as the Relative Strength Index (RSI) heads higher to 62, signaling increasing buying pressure as room for growth lingers.

Additionally, the Moving Average Convergence Divergence (MACD) and its signal line preserve an uptrend motion as green histogram bars rise from the zero line. This indicates steady bullish momentum, which increases the chances of the range breakout. 

ENA/USDT daily price chart.

On the contrary, if ENA drops to the lower band at $0.6109, a decisive close below the support level could ignite a freefall in ENA to the $0.5122 mark, last tested on August 3.