The post Ethena price defies crypto market downturn ahead of institutional stablecoin launch appeared on BitcoinEthereumNews.com.

Ethena’s price is showcasing remarkable resilience amid the wider crypto market bloodbath, with most altcoins posting losses in the 8 – 20% range in the last 24 hours. Currently trading at $0.40, Ethena (ENA) price has declined by only 3% on the daily timeframe, with trading volume up by 108%. The key factor behind Ethena’s price resilience may be the project’s recent successful fundraising effort, which secured $100 million for the launch of iUSDe, Ethena’s new institutional-focused dollar-pegged token. This fundraising round was completed in Dec., but hadn’t previously been disclosed, according to Bloomberg. It attracted several major investors, including Franklin Templeton, F-Prime Capital, Dragonfly Capital Partners, Polychain Capital LP, and Pantera Capital Management LP. The new token, iUSDe, is essentially a regulated version of Ethena’s existing synthetic dollar, specifically designed for traditional financial institutions seeking exposure to crypto without directly investing into digital assets, according to Jan. blog post by Guy Young, Ethena Labs founder. Additionally, the company plans to allocate some of the proceeds from the token sale to fund the development of its own blockchain, a source close to the matter told Bloomberg. Another likely factor contributing to ENA’s price resilience is the strong demand for Ethena’s existing stablecoin Ethena (USDe). With its market cap nearing $6 billion, USDe has become one of the leading synthetic dollars in the crypto ecosystem thanks to its ability to generate substantial yield through basis trade strategies, even amid heightened market volatility. While USDe yields once peaked at 60%, they have since stabilized around 9%, which still offers a compelling yield compared to traditional financial instruments. Source: CoinGecko From a technical perspective, trader AlejandroBTC has expressed optimism about ENA’s price trajectory. He noted that the asset is currently within a familiar accumulation range, which previously led to a 300% surge to…

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Filed under: News - @ February 25, 2025 2:23 pm