Arthur Hayes supports breakthrough, Ethena price rises 65%

Ethena's price rose by 65% in a week. The FalconX loan agreement and Arthur Hayes's optimistic remarks boosted demand.

On August 21, Ethena (ENA) prices continued their weekly gains and hit US$0.142, driven by FalconX reaching a US$1 billion loan agreement and BitMEX co-founder Arthur Hayes 'bullish comments, with an increase of about 65% on the seventh day.

Market Overview

ENA rose about 65% in seven days, reaching intraday highs close to US$0.145. The US$1 billion in financing provided by FalconX will be used for over-mortgage loans backed by USDe's underlying assets. The 4-hour Relative Strength Index (RSI) rose to 93.97, suggesting that the near-vertical rally was showing signs of overheating. If it breaks through US$0.1465, the next target looks towards US$0.1587; the first support below is US$0.1343.

Today's price trend

According to data, as of press time, ENA prices are around US$0.140, and the daily chart is up about 20%. The token briefly touched US$0.1448 from its opening price of US$0.116, extending a rally since its August 18 low of US$0.082. This trend allowed ENA to break through multiple resistance levels in less than three days: buyers first recovered the $0.10 barrier that previously limited the rebound, and then broke through $0.1099,$0.1221 and $0.1343 one after another.

Judging from the 4-hour chart, most of the increase was driven by continuous positive lines. The token has risen more than 70% since its August 18 low, with little room for consolidation between the previous trading range and the current price. This breakthrough also reversed the previous weak pattern for a long time-ENA had fallen from above US$0.21 since the beginning of 2026 and fluctuated between US$0.07 and US$0.10 for most of the period from June to mid-August.

The factor driving ENA's rise

The direct catalyst was the $1 billion guaranteed warehousing financing agreement announced by FalconX and Ethena. Under the arrangement, assets supporting Erena's USDe synthetic dollars can be used to provide excess mortgages to institutional borrowers. FalconX will be responsible for initiating and servicing loans, while also managing collateral, which will be held by qualified custodians. Ethena will have a senior security interest in the assets in the loan instrument. This structure provides the protocol with a potential source of return in addition to crypto basis trading, which may weaken when demand for leveraged futures declines.

US$1 billion refers to the total capacity of the financing instrument, not the capital deployed confirmed on the first day. Interest rates, eligible collateral, borrower requirements and initial withdrawal amounts have not been disclosed. Comments from BitMEX co-founder Arthur Hayes further added market momentum. He tweeted on August 21 that "it's too easy to increase ENA fivefold," attaching a chart pointing to about $0.50.

Hayes had previously believed that stronger dollar liquidity could boost Bitcoin, improve derivative basis yields, and attract funds back to USDe. Online reports in early August also showed that he was involved in the purchase of 22.64 million ENA units worth approximately $2 million.

Trader Daan Crypto Trades identified US$0.14 as a key level after ENA rose more than 30%. "There may be some resistance there. If we break through, we will enter an acceleration phase." ENA has now touched the area, and its response around $0.14 to $0.1465 will determine the next step.

Indicators show that the rally is overheated

momentum is still leaning towards strong bullish, but 4-hour indicators show that short-term profit-taking risks are rising. ENA's 4-hour Relative Strength Indicator (RSI) reached 93.97, well above the 70 level that is usually considered overbought. Its RSI moving average is at 75.97, confirming that the momentum has not soared briefly, but has remained high among multiple K-lines. The Moving Average Convergence and Divergence Indicator (MACD) also supported the uptrend: the MACD line rose to 0.0114, above the signal line of 0.0062, and the positive histogram expanded to 0.0052, indicating that buying momentum is still accelerating.

The daily Aroon indicator provides another bullish signal: Aroon Up is 100%, corresponding to a new high for ENA, and Aroon Down is 64.29%. The reading favors buyers, but also reflects the speed and volatility of price reversals from previous lows.

Overbought readings do not guarantee an immediate decline. However, an RSI close to 94 means traders entering after a vertical rise face greater risk if momentum slows or early buyers start taking profits.

If it breaks through US$0.1465, the target looks towards US$0.1587

daily chart, US$0.1465 is the next major resistance level. ENA traded slightly below that level after trading at an intraday high of around $0.1448. If the daily line closes above US$0.1465, it will confirm a breakthrough in the current trading range. The technical targets are US$0.1587 and US$0.1709 in turn. If momentum continues, it will look towards US$0.1831. If it fails to break through US$0.1465, it may test back US$0.1343 (previously used as a reversal). Support below is US$0.1221, followed by US$0.1099 and the previous breakthrough area of US$0.0977 to US$0.10.

CoinGlass's three-day liquidation heat chart shows that there is a large amount of leverage concentration below the current price. The recent long gathering area is around $0.118 to $0.120, with additional liquidity also available between $0.104 and $0.116. Therefore, if it falls below US$0.1343, leveraged long positions will come under pressure and the decline may accelerate. Holding this level allows ENA to consolidate without disrupting the short-term bullish structure.

The U.S. market environment is still related to risk appetite

ENA's rise is also due to the overall recovery of the crypto market, with Bitcoin approaching multi-month highs. Demand for high-risk DeFi tokens typically rises after Bitcoin and Ethereum strengthen, but such assets can also fall more sharply when market sentiment reverses. FalconX's U.S. operations provided institutional connectivity to the U.S. market for the loan agreement. Its subsidiary, FalconX Bravo, has been registered with the U.S. Commodity Futures Trading Commission as a swaps dealer focusing on crypto derivatives.

The financing agreement does not eliminate the risks attached to USDe or ENA. Borrower defaults, falling collateral, custody arrangements, smart contract risks, changes in derivative yields and future token unlocks may still affect the agreement and its governance tokens. Currently, ENA's breakthrough market remains above US$0.1343. A close above US$0.1465 will support a further move towards US$0.1587; if rejected and combined with extreme RSI readings, the probability of a pullback to US$0.1221 will increase.