The price of Ethena (ENA) has more than doubled in just a few weeks. Since early July, ENA price has climbed by over 110%, and yet, signs suggest this may only be the beginning. On-chain activity is starting to reveal something deeper happening behind the scenes, especially among large holders.
One major signal came from crypto analyst Ali, who noted that whales have just bought over 1 billion ENA tokens. This sudden accumulation has raised eyebrows across the market. As Ali put it, “What do they know that we don’t?”
Whales just bought up over 1 billion Ethena $ENA. What do they know that we don’t? pic.twitter.com/i8xqXmHC6Q
— Ali (@ali_charts) August 5, 2025
In times like this, where the broader crypto market shows mixed signals, such aggressive whale moves often hint at inside conviction. And this time, that conviction seems tied to the evolving fundamentals of Ethena.
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Ethena’s Use Case Is Bigger Than Most Think
Another analyst, Erhan K, offered a detailed explanation of why some investors are getting more bullish on Ethena. According to him, the project is no longer just another token with short-term hype. It’s emerging as one of the most important protocols in crypto.
Ethena is the project behind USDe, a synthetic stablecoin that doesn’t rely on traditional banking infrastructure. Instead of using dollars or government treasuries for backing, USDe uses a delta-neutral strategy involving Ethereum and Bitcoin. It holds ETH and BTC in spot while simultaneously shorting them in perpetual futures. This keeps the stablecoin pegged while also generating yield.
Ethena is quietly becoming one of the most important protocols in crypto.
— Erhan K (@ErhanKOfficial) August 5, 2025
Here’s what most people don’t realize:
1️⃣ $ENA is the native token of @ethena_labs, which created $USDe, a synthetic stablecoin that doesn’t rely on banks or fiat.
2️⃣ Instead of using dollars or… pic.twitter.com/j0hATYd7pF
Currently, that yield is around 11 to 12% annually. In a world where many traditional investments offer low returns, this kind of on-chain yield is becoming more attractive. And it’s showing in the numbers. The supply of USDe has grown rapidly, now sitting at over $11 billion. That makes it the third-largest stablecoin in circulation after USDT and USDC.
At the same time, Ethena’s total value locked has nearly doubled in just two weeks. It moved from $5.3 billion to $9.35 billion, despite a general slowdown in the broader crypto market. According to Erhan K, this shows that people are not just speculating. They’re actively putting capital to work inside the Ethena system.
Buybacks, Treasury Funding, and Whale Confidence
While early supporter Arthur Hayes reportedly sold about $5 million worth of ENA tokens recently, that move appears to be a small drop in a much larger wave of capital flow. A new initiative called Stablecoin X, which is backed by Ethena, is currently raising $360 million through a SPAC. Out of that amount, $260 million is being set aside for daily buybacks of the ENA token.
This means that around $5 million worth of ENA will be bought each day for six weeks straight. That adds up to nearly 8% of the total circulating supply being bought from the open market in a very short time. This level of buyback pressure not only offsets any selling from early investors or unlocked tokens but also demonstrates internal confidence in the long-term future of the token.
This also helps explain the growing interest from whales. Large holders tend to follow signs of strong fundamentals and smart capital movements. With buybacks in place, yield-driven adoption, and rising demand for USDe, ENA is now sitting in a very different position than just a few months ago.
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Add to that its fully on-chain design and the fact that it has no exposure to the risks of the traditional banking system, and Ethena begins to look like more than just another DeFi project. As Erhan K noted, this is a large-scale monetary experiment happening in real time.
What This Means for the ENA Price
The fundamentals are shifting, and with major entities buying aggressively, the token’s valuation may be finding new support at higher levels.
If the current pace of USDe adoption continues and the buyback plan unfolds as expected, there may be continued upward pressure on the ENA price. At the very least, whales are making a clear bet that the Ethena ecosystem is just getting started.
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