ENA, is stopping at an important support level. Yesterday, it rose 7% and recovered to $0.115, but it couldn't break through the resistance line at $0.1196. This is a pretty critical level.

Technically, the head and shoulders pattern is still valid. If this pattern completes and the neckline at $0.08 is broken, there’s a possibility of a decline of over 20%. The target price is calculated to drop to $0.066. From the current price of $0.11, that would be a significant drop.

Another concern is the movement of large holders. Between February 20 and early March, major investors sold 180 million ENA tokens from their wallets. This suggests they didn’t believe the price would go up. It might be a factor suppressing buying pressure.

On March 5, 171 million tokens are also scheduled to unlock, which could increase selling pressure further. The RSI indicator is also showing a hidden bearish divergence, so the technical signals are pointing downward.

The protocol itself is solid, and USDe is the third-largest stablecoin with a market cap of $6 billion. Staking yields are also functioning well at 4–12%, but the governance token ENA is a different story. There seems to be room for further adjustment from here. $0.095 is likely to be the first test.