Ethena’s ENA token is experiencing a major supply increase as a major unlock event releases a substantial portion of its total supply.
The token’s market dynamics could shift as billions of ENA tokens enter circulation, potentially influencing liquidity and investor sentiment. While some wallets linked to Ethena Labs have already moved millions of tokens, others may wait for a better price before selling. The unlock event marks a key moment for the project, interesting investors and traders analyzing its potential impact.
The blockchain analytics platform Tokenomist reported that Ethena’s first major insider unlock is taking place on March 5.
🚨 Notable Unlock Alert: $ENA First Insider Unlock 🚨
— Tokenomist (prev. TokenUnlocks) (@Tokenomist_ai) March 5, 2025
📅 Happening Today – March 5th! 📅
2.07 Billion $ENA will be Unlocked ( 39% of circ. ) – Worth Over $765M 🔥
🔓 First major unlock for Core Contributors & Investors
– Core Contributors – 1.13B ENA [$471M]
– Investors –… pic.twitter.com/ZAkPH7zX2q
A total of 2.07 billion ENA tokens—accounting for 39% of the circulating supply—are now accessible to early investors, core contributors, and ecosystem development initiatives. The newly unlocked tokens hold an estimated market value exceeding $765 million.
Core contributors will receive 1.13 billion ENA, worth approximately $471 million, while investors will gain access to 937.5 million ENA, valued at $392 million.
Additionally, 7.93 million ENA, valued at $3.32 million, is allocated for ecosystem development. The increased supply could influence ENA’s price trajectory, depending on how recipients choose to manage their holdings.
What you'll learn 👉
Wallets Linked to Ethena Labs Move Millions of ENA
Blockchain tracking platform Spot On Chain identified two wallets linked to Ethena Labs that deposited a total of 29.87 million ENA to Binance within the past hour. The deposits were made at an average price of $0.386 per token.
These wallets previously received ENA from Ethena Labs’ multi-signature wallets on July 20, 2024, when the token was priced at $0.487. Despite these transactions, one of the wallets still retains 53.6 million ENA, worth approximately $20.2 million.
The movement of tokens to exchanges suggests potential selling pressure, though it remains unclear whether all holders will offload their tokens immediately.
Read also: How High Can Kaspa (KAS) Price Go in March?
Ethena Price Performance
Zen, a market analyst at WiseAnalyze, noted that the unlocked ENA tokens represent over 66% of the circulating supply.
He suggested that while the sheer volume of tokens could create selling pressure, the token’s price decline—down 71% from its last swing high—might lead some holders to wait for a recovery before selling.
Two wallets linked to @ethena_labs jointly deposited 29.87M $ENA ($11.52M) to #Binance at ~$0.386 in the past hour.
— Spot On Chain (@spotonchain) March 5, 2025
Notably, both wallets received $ENA from Ethena Labs' multi-sigs on July 20, 2024, when the price was $0.487.
Currently, one wallet still holds 53.6M $ENA… pic.twitter.com/f5en8KuuRO
Zen advised caution, suggesting traders monitor market volume trends before taking positions. He indicated that a short-selling opportunity could emerge if bounce-back trading volume surpasses dip volumes. The unlock event’s immediate effect remains uncertain, but long-term market reactions could depend on investor behavior.
According to CoinGecko, ENA trades at $0.3804 at press time. This is a 9.21% increase over the last day. However, the token has dropped 8.07% over the past week. The large unlock event could influence further price movements as traders react to the increased token supply.
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