Price Analysis

Athena Protocol Gains Momentum with TVL Increase to $2.75 Billion, Ready for $1?

Amid a broader market recovery, Athena coin's price surged 43.5% to $0.937, driven by breaking out of a falling wedge pattern.

Published by

Sahil Mahadik

Updated 22 Oct, 2024 | 12:01:58 PM UTC

Athena Protocol Gains Momentum with TVL Increase to $2.75 Billion, Ready for $1?

Highlights

The formation of falling wedge pattern maturity of prior correction trend and potential for a renewed recovery force.
The rising ENA price could face a strong overhead supply at $1.18 resistance.
The intraday trading volume in Ethena is $310.2 Million, indicating a 16% gain.

On Monday, the cryptocurrency market witnessed a notable uptick as the leading digital asset Bitcoin surged above the $70000 psychological level. The number two crypto Ethereum also showed similar momentum as a 3% jump almost pushed it above the $4000 mark. Therefore, several altcoins including Athena experience a renewed market recovery aiming to prolong the recovery trend.

Also Read: Robert Kiyosaki Slams “Bonds Are Safe” Claims, Advocates Buying Bitcoin

Athena Protocol’s TVL Soars 20%, Signaling Renewed User Confidence

Athena| Tradingview

Amid the broader market recovery, the Athena coin entered a new recovery phase around mid-May as its price rebounded from $0.653. The positive turnaround uplifted the altcoin to 43.5% to currently trade at $0.937, while its market cap boasted $1.42 Billion.

An analysis of the daily chart shows this recovery breached the resistance trendline of a falling wedge pattern, escaping a six-week correction.

According to a recent tweet from the crypto analytics firm IntoTheBlock, the Total Value Locked (TVL) in the Ethena protocol has seen a significant increase, going parabolic once again. After experiencing a slow month, Ethena’s TVL has surged to $2.75 billion, marking an impressive rise of nearly 20% over the past two weeks.

After a slow month, Ethena TVL is going parabolic again.

TVL is currently at $2.75B, an increase of nearly 20% in the last two weeks pic.twitter.com/yivqkuenYB

— IntoTheBlock (@intotheblock) May 27, 2024

This growth in TVL indicates a renewed interest and confidence in the Ethena protocol, suggesting that more users are locking their assets within the platform. The spike in TVL is a positive indicator of the platform’s health and popularity, reflecting increased user engagement and potential for further growth.

If the aforementioned bullish pattern holds true, the current recovery in ENA price could rise to $1.18, followed by $1.52.

Technical Indicator

Exponential Moving Average: The ENA price jump above the 20- and 50-day EMA indicates the buyers are strengthening their grip over this asset.
Average Directional Index: The ADX slope rising at 14% hints the recovery trend is far from exhaustion meaning an Athena could ride a prolonged rally.

Sahil Mahadik

Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading

Published by

Sahil Mahadik

Updated 22 Oct, 2024 | 12:01:58 PM

Why trust CoinGape: CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights to our readers. Our journalists and analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.

Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.