USDe

Ethena

Ethena gained bullish momentum after Securitize, the distributor of BlackRock’s USD Institutional Digital Liquidity Fund (BUIDL), proposed a significant investment. 
Late on July 23, Ethena Labs, the company behind the <a href="https://crypto.news/polymarket-ethena-usde-stablecoin/" target="_blank" rel="noreferrer noopener">USDe</a> stablecoin, posted on X that Securitize requested a $34 million allocation in BUIDL from the company’s $45 million reserve fund. This could allow Ethena Labs to gain exposure to the U.S. Treasury funds and make “low-risk” investments and generate yield.&nbsp; 
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper"> 
 <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
 The second of which was from Securitize, distributors of <a href="https://twitter.com/BlackRock?ref_src=twsrc%5Etfw" target="_blank" rel="">@BlackRock</a> BUIDL: <a href="https://t.co/tAy7HtMj9y" target="_blank" rel="">pic.twitter.com/tAy7HtMj9y</a>— Ethena Labs (@ethena_labs) <a href="https://twitter.com/ethena_labs/status/1815857674308968613?ref_src=twsrc%5Etfw" target="_blank" rel="">July 23, 2024</a>
 </blockquote>
 <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script> 
 </div>
</figure> 
Following the announcement, Ethena (<a href="https://crypto.news/price/ethena/" target="_blank" rel="noreferrer noopener">ENA</a>) surged by 11.2% and is trading at $0.5 at the time of writing. The asset’s market cap is hovering close to the $850 million mark. Notably, the ENA daily <a href="https://crypto.news/glossary/volume-in-crypto-trading/" target="_blank" rel="noreferrer noopener">trading volume</a> rallied by 81%, reaching $150 million. 
 You might also like: <a href="https://crypto.news/eth-etfs-see-over-1b-of-trading-volume-on-launch-day/"> ETH ETFs see over $1b of trading volume on launch day </a> 
According to data provided by Santiment, the number of whale transactions consisting of at least $100,000 worth of ENA almost doubled over the past 24 hours — rising from 16 to 31 unique transactions per day. 
<figure class="wp-block-image size-large">
 <picture loading="lazy" decoding="async" class="wp-image-14286843"> 
 <source type="image/webp" srcset="https://crypto.news/app/uploads/2024/07/Ethena-ENA-14.23.48-24-Jul-2024-1024x347.png.webp"> 
 <img loading="lazy" decoding="async" width="1024" height="347" src="https://crypto.news/app/uploads/2024/07/Ethena-ENA-14.23.48-24-Jul-2024-1024x347.png" alt="Ethena rises 11% following $34m proposal from BlackRock’s BUIDL distributor - 14"> 
 </picture> 
 <figcaption class="wp-element-caption">
 ENA price, whale activity, RSI and daily active addresses – July 24 | Source: <a href="https://app.santiment.net/charts/IgirMexs__sCl" target="_blank" rel="">Santiment</a>
 </figcaption>
</figure> 
On the other hand, data from the market intelligence platform shows that the number of Ethena daily active addresses plunged by 19% over the past day — falling from 1,042 to 844 active unique wallets. 
At this point, the decline in the number of active addresses while the whale activity around the asset rises shows the possibility of high price volatility due to potential short-term whale profit-taking. 
Per Santiment, the ENA Relative Strength Index (RSI) is currently hovering at 46. The indicator shows that <a href="https://crypto.news/us-jobs-data-deals-blow-to-ethena-solana-and-eos-prices/" target="_blank" rel="noreferrer noopener">Ethena</a> is sitting in a good spot for a price hike. However, a short price correction would be expected due to the high amount of whale transactions. 
 Read more: <a href="https://crypto.news/mew-surges-16-becomes-top-gainer-in-crypto-market-today/"> MEW surges 16%, becomes top gainer in crypto market today </a>

Ethena rises 11% following $34m proposal from BlackRock’s BUIDL distributor

crypto.news

Other articles published on Jul 24, 2024

Battle of Titans: Monero vs. Bonk, With WW3 Shiba Set to Rewrite Crypto History

JD.com Introduces Stablecoin Pegged to Hong Kong Dollar

1.56 Trillion Shiba Inu (SHIB) in 24 Hours: Whale Comeback

Ethereum Primed For Huge Parabolic Move After Spot ETH ETFs Launch, Says Analyst

Best New Cryptocurrency for Instant 25x Profits in July 2024

Hex Trust Receives In-Principle Approval to Offer Digital Payment Token Services in Singapore

Join our free newsletter for daily crypto updates!