Wu Blockchain (@WuBlockchain): What Ethena is telling us about the crypto market
Estimated coin impact
Scores are not price-change percentages. High impact means a score of +70 or more, or -70 or less.
What Ethena is telling us about the crypto market By @SoskaKyle Ethena's deployed capital has dropped to a multi-year low, at just 71% of its 2025 trough, signaling extremely weak net long demand in crypto. Directional longs and shorts are nearly balanced—a rare equilibrium in crypto derivatives history that is unlikely to last. Perpetual futures show stable open interest but persistently negative funding rates, reflecting rising hedging and short demand. Ethena's basis trades have shrunk over 60% since February 8, falling from over $2 billion to under $800 million, mainly due to unwinding of profitable but unsustainable basis positions and pressure from directional shorts and hedging activity. Read more https://www.wublockchain.xyz/index.php?m=content&c=index&a=show&catid=35&id=1732