Ethena Price Soars 8% on Integration With Bybit's USDe Collatera
Ethena Labs has revealed a significant development in the application of USDe, a novel digital currency, through its incorporation with Bybit.
The inclusion of support for USDe will allow users to trade perpetual contracts while potentially securing returns on the Ethena platform.
Ethena Labs has unveiled a pivotal advancement with the adoption of USDe, a fresh digital currency, through its alliance with Bybit, a top-tier crypto exchange.
This collaboration has launched vital features designed to enhance user experience and boost the adoption of USDe in crypto trading.
<blockquote class="twitter-tweet"><p lang="en" dir="ltr">Excited to share one of the most important developments for USDe adoption to date<br><br>USDe will be integrated into <a href="https://twitter.com/Bybit_Official?ref_src=twsrc%5Etfw">@Bybit_Official</a>:<br><br>i) Collateral to trade perpetuals while potentially capturing yield<br>ii) BTC and ETH spot pairs with zero trading fees<br>iii) Within the Earn platform <a href="https://t.co/zDDO2WdeNf">pic.twitter.com/zDDO2WdeNf</a></p>— Ethena Labs (@ethena_labs) <a href="https://twitter.com/ethena_labs/status/1787826709687054825?ref_src=twsrc%5Etfw">May 7, 2024</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
According to Ethena Labs, over 20 billion USD in collateral is currently employed in margining perpetual contracts without earning any yield. The integration of USDe offers users the unique opportunity to possibly reduce their funding expenses using their collateral. This is an unprecedented move in the realm of cryptocurrency and is set to revolutionize trading dynamics.
Moreover, Ethena Labs highlighted in an earlier tweet that the popularity of stablecoins like USDT and USDC is largely due to their role as currency in major trading pairs on centralized exchanges.
<blockquote class="twitter-tweet"><p lang="en" dir="ltr">Currently there is >20bn of USD collateral being used to margin perpetuals which is capturing no yield<br><br>Integrating USDe and allowing users to potentially offset their funding costs with their collateral is a first in crypto history, and will fundamentally reshape trading</p>— Ethena Labs (@ethena_labs) <a href="https://twitter.com/ethena_labs/status/1787826724371321269?ref_src=twsrc%5Etfw">May 7, 2024</a></blockquote> <script async src="https://platform.twitter.com/widgets.js" charset="utf-8"></script>
Introducing USDe to these crucial spot pairs marks a significant move towards expanding its use beyond decentralized finance (DeFi) to the most active trading platforms. Ethena is set to offer the necessary infrastructure to enable users to easily earn yields in USD through a simple, one-click process on Bybit.
Ethena Price Soars 8% Amid The News: Analysts Predict More Room For Growth!
The incorporation of USDe on Bybit has been met with optimism, contributing to an over 8% intraday increase in its price. At the time of writing, ENA was exchanging hands at $0.935.
Additionally, The daily chart indicates a breakout from a falling wedge pattern, suggesting the potential end of a downward trend. Analysts predict the token could climb nearly 40% to reach the $1.3 mark before experiencing another downturn.
From a technical point of view, the RSI was at 54.4, while the SMA was hovering around the 50-point mean line. The occurrence of a bullish crossover between these lines on the chart supports the likelihood of continued upward movement for the cryptocurrency. Additionally, the broader market's recovery could further enhance the token's performance.
Conclusion.
Ethena Labs' integration of USDe with Bybit has sparked a positive market response, with an 8% price surge to $0.935. The move aims to improve user experience and increase USDe's use in trading. Currently, $20 billion in collateral isn't yielding returns, but USDe's integration could change that, offering cost savings.
Technically, a falling wedge breakout suggests a trend reversal, with potential growth up to $1.3. The RSI and SMA indicators show a bullish crossover, hinting at further gains, especially as the broader market recovers, which could bolster ENA's upward trajectory.