Why is Ethena down 12%? $8M liquidations, whale sales & more…

Ethena [$ENA] fell sharply as bearish pressure persisted following the September Consumer Price Index (CPI) release. The altcoin breached $0.20 support and plunged to $0.182.

In doing so, Ethena erased its October and late September gains. At press time, it traded around $0.184, down 12.3% over the past day. Trading Volume rose 49% over the same period, showing increased activity during the sell-off.

Why did Ethena’s long liquidations surge?

As Ethena [$ENA] lost $0.20, leveraged bulls took a heavy hit. CoinGlass data showed that $ENA’s price volatility exceeded 15% over 24 hours.

The sharp move increased liquidation risk, with over $8.2 million in long positions liquidated.

Forced long closures can amplify selling pressure, leaving remaining leveraged positions vulnerable to further declines. Capital also flowed out of the Futures market. Ethena recorded $301 million in outflows against $263 million in inflows over the past day.

That left Futures Netflow at -$38 million, reflecting net outflows. These flows alone could not establish whether traders predominantly closed longs or shorts.

Are Ethena’s whale sales adding pressure?

Beyond derivatives, some large holders also reduced exposure.

Nazoku reported that a whale sold nearly $800,000 worth of $ENA before the CPI release.

According to the report, the investor anticipated a lower-than-expected reading and realized roughly $50,000 in profit.

Separately, YZi Labs transferred 1.2 million $ENA, worth $252,000, to exchanges, raising the prospect of additional selling.

The cited report put YZi Labs’ cumulative sales at 135 million $ENA. However, the latest exchange deposit alone did not confirm another sale.

Even so, Spot Exchange Netflows offered a possible counterweight to the selling pressure.

Spot Netflow remained negative during the decline, reaching roughly -$2.4 million at press time, compared with -$4 million previously.

More tokens left tracked exchanges than entered them. This could reflect accumulation, although withdrawals alone did not confirm dip-buying.

Net outflows also narrowed, suggesting that the withdrawal trend offered less support than the previous day’s reading.

Can $ENA reclaim $0.20?

Ethena remained under downside pressure following heavy Long Liquidations and net Futures outflows.

If selling persisted, $0.16 could become the next downside level, with $0.13 representing a deeper bearish scenario. For buyers, reclaiming and holding $0.20 could weaken the immediate bearish case. Until then, Spot withdrawals offered encouragement without confirming a recovery.

Final Summary

• Ethena fell 12.3%, losing $0.20 support as Long Liquidations exceeded $8.2 million.
• $ENA left exchanges during the sell-off, but withdrawals offered little certainty about who was buying.