Ethena (ENA) Price Jumps 25% — Must Break Key Pattern for Bullish Reversal

Ethena (ENA) started an impressive rally in September 2024, gaining 600% in 100 days.

However, the price has fallen since, sharpening its decline after a failed attempt at moving to new highs in December. What followed was a 45% drop to a low of $0.72.

While ENA has bounced since it still needs to reclaim its primary diagonal resistance to confirm its bullish trend reversal.

Let’s examine the price action and see how likely that is.

ENA Creates Bearish Pattern

Between Dec. 16, 2024, and Jan. 4, 2025, ENA created a double top, considered a bearish pattern. The double top often happens near the end of upward movements and marks the beginning of the bearish trend reversal, as with ENA.

Once ENA broke down from its ascending support trend line and validated it as resistance (black icon), it confirmed the double top pattern was materializing.

Even though ENA fell 45% after the highs, reaching a low of $0.72, it still managed to bounce and prevent a breakdown from the $0.85 horizontal support area, which has existed since the start of December 2024.

Technical indicators do not confirm if the bounce will continue. Both the Relative Strength Index (RSI) and Moving Average Convergence/Divergence (MACD) generated bearish divergences (green) during the pattern and have now fallen below their bullish thresholds at 50 and 0, respectively.

While they show waning bearish momentum, confirming the bullish trend reversal is insufficient. To do so, ENA has to reclaim its ascending support trend line at $1.

Final ENA Price Increase

Ethena’s wave count gives more optimism than the price action. The most likely count suggests that Ethena has just started the fifth and final wave of its upward movement (white). The double top and decline that followed were part of wave four, as noted by the sub-wave count (black).

If the count is accurate, the main target for the top of this increase will be between $1.69 and $1.86. The target is created by the 1.61 external Fibonacci retracement (yellow) and by giving wave five the same length as waves one and three combined (white).

Afterward, ENA could begin a lengthy corrective period.

Despite the positive readings, Ethena’s price needs to reclaim the ascending support trend line to confirm the start of wave five. Until it does, the possibility of a deeper correction will remain.

Ethena Above $1.50

ENA has rebounded in the last few weeks, showing preliminary signs that the correction is over.

While the price still needs to reclaim a key diagonal resistance, doing so will confirm the beginning of an upward movement toward $1.69-$1.86.

About the Author

Valdrin Tahiri

Valdrin Tahiri is a cryptocurrency analyst and reporter at CCN, specializing in technical analysis with a focus on Elliott Wave theory, on-chain metrics, and fundamental research. He brings over seven years of experience in the crypto space as both a trader and writer.

He discovered cryptocurrencies in 2017 while earning his MSc in Financial Markets at the Barcelona School of Economics, which sparked a deep interest in blockchain and market dynamics. Since then, he’s contributed to top crypto outlets like BeInCrypto and CoinGape.

Valdrin also served as Community Manager of BeInCrypto’s Telegram group for three years, helping grow it into one of the largest crypto communities worldwide. His expertise in market structure and price patterns allows him to break down complex trends into clear, actionable insights.

He’s published thousands of articles covering altcoins, Bitcoin cycles, and macro trends.

[email protected] LinkedIn X.com