Ethena (ENA) Flashes Early Bullish Reversal Signs as Traders Wait for Clarity

Key Takeaways

• Breakout from the channel suggests macro trend reversal.
• Bullish divergence supports the end of correction.
• Five-wave structure unfolding on lower time frames.
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ENA has likely completed a prolonged ABCDE correction phase, bottoming near $0.26. 

The breakout from the descending channel and impulsive structure on the 1-hour chart signals a potential reversal. 

With a five-wave impulsive recovery unfolding and momentum building, the current price action suggests a continued climb, though key resistance levels are ahead.

ENA Price Analysis

The 4-hour chart shows ENA concluded a correction in a five-part complex structure labeled a-b-c-d-e, with the final leg (e) ending at $0.257 on April 7. 

The corrective phase was confined within a descending channel structure that formed after a completed five-wave impulse, leading the price to a high of $1.32 on Dec. 16.

A bullish Relative Strength Index (RSI) divergence formed at the wave “e” low, confirming the potential exhaustion of selling pressure. 

Following this, the price broke out of the descending channel pattern on April 8, indicating the initiation of a new trend phase. The price is currently pushing toward the $0.37 level.

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However, these targets may only be reachable after intermediate structure completion and further bullish confirmation.

ENA Price Prediction

Zooming into the 1-hour chart, ENA initiates a recovery and appears to be developing a clear five-wave impulse from the $0.262 low. 

Wave (i) and (ii) are completed, with wave (iii) currently developing and wave (iv) potentially pulling back before a final wave (v) push, targeting $0.37

Fibonacci extensions suggest the 1.272 level at $0.33 as the first resistance and 1.618 at $0.346 as a typical wave (v) exhaustion zone. 

The structure remains bullish as long as the price stays above $0.306 (0.786 extension of wave (iii)).

A confirmed breakout above $0.33 would likely signal the completion of the first higher-degree impulse and suggest more upside after a corrective wave (iv) pullback. 

If the current structure holds, the price could reach targets above $0.44 and $0.50 within weeks.

Key Levels to Watch

Support:

• $0.306 (0.786 Fib from the recent move).
• $0.262 (wave ii low).
• $0.257 (macrostructure base).

Resistance:

• $0.33 (1.272 Fib extension).
• $0.346 (1.618 extension).
• $0.369 (local pivot).
• $0.443 (macro 0.786 retracement).