Key facts
- Standard Chartered initiated coverage on Ethena and its ENA token.
- Standard Chartered predicts ENA could reach $2 by the end of 2028, a 600% upside from current prices.
- Bullish catalysts cited include tokenization plans, perpetual contracts, and token buybacks.
- Ethena's USDe stablecoin has reached the $10 billion mark rapidly.
- The ENA token has risen over 5% to trade around $0.26.
- ENA has gained over 77% in the past month.
Standard Chartered has initiated coverage on the cryptocurrency Ethena and its native token ENA, forecasting a potential price target of $2 by the end of 2028. This projection represents a significant upside of approximately 600% from the token's current trading level.
Analyst Geoff Kendrick cited several factors as bullish catalysts for the ENA token, including Ethena's plans for tokenization, its involvement in perpetual contracts, and the potential benefits from token buybacks. The bank highlighted the rapid growth of Ethena's USDe stablecoin, noting it was the fastest to reach the $10 billion mark.
In recent developments, the Ethena Foundation announced measures to address supply overhang from monthly unlocks by buying out early investors. It also proposed a governance plan for revenue buybacks, where revenue from all Ethena brand business lines would be used to repurchase the native token.
The ENA token has seen a price increase of over 5% following Standard Chartered's initiation of coverage, trading around $0.26. The token has experienced substantial gains, rising over 77% in the past month. This recent upward movement coincides with Bitcoin surpassing $85,000, driven by softer PCE inflation data that has tempered expectations for an October Federal Reserve rate cut, benefiting risk assets across the broader crypto market.