Ethena (ENA) is entering December with a technical setup that appears more favorable than many traders realize. Despite a shaky broader market, the ENA price has quietly demonstrated renewed strength after maintaining a key support zone for several weeks.
Analyst Crypto Candy, who has been closely monitoring the chart, has indicated that ENA has already achieved a clean breakout on the daily timeframe. With the chart structure now shifting, December could be the month when ENA experiences a significant upward movement.
Technical Analysis of Ethena's Chart
The daily chart reveals that the Ethena price has broken out of its falling wedge pattern. This pattern has been exerting downward pressure on the price since September and often signals the conclusion of a downtrend.
ENA successfully held its green support zone, located around $0.22–$0.23, refusing to establish a new low even when the rest of the market faced pressure. This resilience alone suggests exhaustion on the sell side.
Currently, the ENA price is trading near $0.29, positioned directly at the wedge breakout line. A sustained close above this level, accompanied by strong trading volume, would confirm a bullish shift in the overall structure for the first time in months.
Crypto Candy highlighted that the breakout is already evident on the daily chart, which enhances the probability of a short-term continuation of the upward trend.
Key Price Levels for ENA
The Ethena chart indicates three primary resistance zones above the current price. The first is situated around $0.36, which previously served as a significant support level earlier in the year and now acts as resistance.
The subsequent major target is projected to be around $0.60, aligning with a substantial prior consolidation zone. Beyond this, the final high-timeframe level is near $0.87, the peak ENA reached in mid-2024.
The breakout from the falling wedge suggests that the ENA price is transitioning into a recovery phase. Falling wedge patterns typically resolve with a price surge back towards the middle of the previous trading range. If momentum accelerates, $0.36 would be the nearest significant target in the first half of December.
Favorable Market Conditions for Ethena
December presents several potential catalysts that could bolster altcoin momentum. The Federal Reserve is anticipated to confirm a rate cut, and liquidity is expected to return to risk assets following the conclusion of quantitative tightening. If the Bitcoin price maintains stability within its current range, capital typically flows into mid-cap assets like ENA.
Market sentiment also tends to improve rapidly when charts display constructive signals after prolonged downtrends. The ENA price has been in oversold territory for some time, and recovering from this structure often attracts early buyers seeking significant upside potential. An expansion in trading volume this week could lead to a faster breakout than many traders anticipate.
Short-Term Outlook for Ethena Price
The critical factor for ENA's short-term performance is its ability to hold above the $0.28–$0.29 range. As long as this breakout area remains intact, the current upward trend is considered valid.
The next upside target is around $0.36, and reclaiming this level would open the path toward $0.60. The Ethena price does not require a substantial market rally to reach these targets; it primarily needs Bitcoin to remain stable and the current chart structure to play out as expected.
Crypto Candy's analysis of the chart is straightforward: ENA is demonstrating strength while the broader market is experiencing volatility. This often precedes a short-term upward move. With the daily timeframe breakout confirmed and December catalysts on the horizon, ENA could potentially outperform expectations.