Ethena's [ENA] token surged 41% on the daily chart, breaking out of a multi-month descending channel and reaching a seven-month high of $0.144. According to AMBCrypto, the altcoin reclaimed $0.10 and traded near $0.132 at press time, with the breakout settling questions about who continues buying above the seven-month high. The rally was driven by a significant short squeeze, as reported by CoinGlass, which liquidated $4.2 million worth of short positions as bearish traders exited the market. This forced scramble strengthened buying pressure and contributed to further liquidations, with derivatives volume rising 269% and open interest climbing 67% to $390 million.
CME Group has expanded its cryptocurrency benchmark suite by adding ENA reference rates for London, New York and APAC markets, with daily publication beginning August 24. As reported by CME Group, CF Benchmarks calculates these rates using trades from eligible spot exchanges, providing standardized U.S. dollar pricing for institutional valuation and risk controls. The regional format includes ENAUSD RR for London close, ENAUSD NY for New York closing, and ENAUSD AP for APAC trading day end. Each rate is published at 4 p.m. local time in its respective region, with publication continuing seven days a week including weekends and holidays to match crypto's continuous trading schedule. The pricing tools support portfolio valuation, risk controls, and ENA-linked financial products, though CME emphasizes this announcement does not involve ENA futures or options launches.
Market activity surged alongside the price rally, with trading volume jumping 267% to $390 million and market capitalization increasing 40% to $1.2 billion. As reported by AMBCrypto, the rally also triggered a short squeeze, forcing bearish traders from the market. The long/short ratio reached 1.04, indicating a slight preference for long positions, while derivatives positioning concentrated heavily above ENA's recent trading range. Technical indicators showed the RSI rising to 47.26 at press time, recovering from below its neutral level, though overbought conditions could increase short-term pullback risks. ENA gained about 65% in the week leading up to Aug 21 and approached $0.1465 following the FalconX agreement, with technical analysis showing resistance at $0.1465 and support levels near $0.1343.
Spot investors and whales accumulated ENA during the rally, with CoinGlass reporting that spot netflow remained negative for two consecutive days at -$2.3 million compared to -$4.4 million the previous day. According to vxDrophunter, one whale withdrew 5.822 million ENA from Bybit, suggesting confidence in ENA's market prospects during the uptrend. This accumulation reduced immediately available supply, contrasting with previous sessions where more tokens entered exchanges than exited. The institutional expansion accelerated with Ethena and FalconX launching a $1 billion secured lending facility on Aug 19, using USDe's backing assets for institutional borrowers. In June, BlackRock integrated USDe into its Aladdin investment platform managing over $20 trillion in assets, while Coinbase Ventures disclosed an open-market ENA purchase in June through public markets.
