Arthur Hayes Says Renewed Dollar Borrowing Demand Could Lift Ethena’s ENA
Summary
- Arthur Hayes said dollar borrowing demand is reemerging in the over-the-counter market.
- He said the return of basis trading could have a positive effect on the Ethena ENA ecosystem.
- Hayes added that ENA would benefit in a unique way and still has considerable upside potential.
Forecast Trend Report by Period
Arthur Hayes, co-founder of BitMEX, said demand to borrow dollars is reemerging in the over-the-counter market, a trend that could benefit Ethena’s ENA.
In a post on X on August 25, Hayes wrote that OTC brokers had started contacting him again about borrowing dollars. Rates are still too low, he added, but the move is an encouraging sign that basis trading is returning.
Basis trading is an arbitrage strategy that seeks to profit from the gap between spot and futures prices. An increase in that activity could also support the Ethena ecosystem, which uses those trades to generate returns.
Hayes said ENA would benefit in a unique way and still has plenty of room to rise.
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