ENAUSD Soars 113% in July: What’s Driving the Surge?
The Stunning July Reversal
The Binance-traded ENAUSD pair steadily declined throughout H2 2025, with no single month closing in the green.
A stunning reversal took place in July, with ENAUSD soaring 113.5% on the month.
Buyback Program Sparks Rally
The rally was sparked by a buyback program under the StablecoinX framework, with the fund announcing plans to repurchase $5 mn worth of ENA tokens daily for six weeks.
Crypto analysts also highlighted the start of the unlock process as a price-supportive factor.
According to CryptoRank, approximately 172 mn ENA tokens are slated for unlocking between August 4 and 10.
Token Unlocks and Strategic Partnerships
Additionally, Ethena Labs’ partnership with World Liberty Financial, affiliated with the US president’s family, has been flagged as a positive driver.
While this partnership was formed in December 2024, it failed to lift the token’s performance earlier in the year.
Technical Analysis: Bullish Break or Double Top?
From the standpoint of technical analysis, the daily timeframe shows that the ENA price broke through the 200-day MA and hit the upper bound of the current regression channel.
Thereafter, the price action pulled back to $0.53, aligning with the 38.2% Fibonacci retracement level.
The second wave higher, which got under way in early August, has so far been weaker, testing only the 23.6% Fibonacci retracement.
This sets the stage for the bears to potentially form a classic double top reversal pattern.
What Comes Next for ENAUSD?
However, the overall trend remains bullish, so it would be too soon to contemplate opening short positions before the pattern plays out – i.e., before a breakdown past the $0.51 confirmation line.
If the price action drops below $0.51, the next downside target could be $0.42.
The call for a deeper correction is supported by the weekly timeframe, where the ENA price pulled back from the 38.2% Fibonacci retracement level.
Under a more optimistic scenario, a breakout above the local trendline could reignite upward momentum, giving the bulls leeway to set their sights on the $0.65 resistance level again.
