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Against the backdrop of the market, Metaverse-themed crypto gaming tokens such as Enjin Coin (ENJ) are seeing a major price boost following Facebook’s announcement on its rebrand to ”Meta”. Enjin Coin has seen an impressive rise since Oct. 25, with today’s 33% run to highs of $3.03 marking the 6th consecutive day in the green. At the time of writing, ENJ was exchanging hands at $2.80, up 19.26% in the last 24 hours and 56.38% weekly. Recently, Enjin, Fight for the Future, and the Blockchain Game Alliance led 26 other game companies in a call on Valve to lift its ban on Web3 gaming, leading to a general price boost in related tokens. In the near term, Enjin seems to have metaverse/NFT themed activities lined up which may increase its positive sentiment. The upcoming NFT award event hosted by Enjin coin in Decentraland will celebrate the best of the Metaverse, honoring NFT projects. The Efinity parachain auction on Polkadot is designed to remove the barriers and costs to entry for playing NFT games.
Resistance Levels: $4.50, $4.03, $3.35
Support Levels: $2.25, $1.90, $1.50
ENJ/USD Daily Chart: Bullish
ENJ/USD Daily Chart
Enjin coin continues its sharp bullish tendency after the rebound on the MA 200 ($1.70) on Oct. 24. The technical indicators are located in the bullish area, with the RSI climbing above the 80 mark. Yet, if this confirms overbought conditions, it could be an indication that the rally is overdone, and hence a slight pullback should not be a surprise in coming sessions.
However, the moving averages 50 and 200 which are deemed to make a crossing (most likely bullish) would approve a positive sentiment in the near term as ENJ bulls eye the $4.03 all-time highs posted on Apr. 11. Traders may be eagerly looking for a break above today’s high of $3.03 to increase buying orders. Should the price retreat, immediate support would come from the $2.30 ahead of the moving averages 50 and 200.
ENJ/USD 4-Hour Chart: Bullish
ENJ/USD 4-Hour Chart
Enjin broke out of its consolidation range and climbed higher to reach the $3 mark. The 4-hour RSI around the 70 mark may be suggesting slight room to run higher before a retracement. That said, if the bulls stay in charge and manage to overcome the $3 level, the attention would then turn to the $4 psychological handle, which marks the April all-time high. Even higher, bulls may reach for the $5 and $6 levels.
Immediate support to downside corrections would come in from the $2.30-$2.60. The next target for bearish traders may be the cluster of support levels from the MA 50 ($2.07) until the MA 200 at $1.69. In the near to medium term, the positive sentiment surrounding Facebook’s rebrand to ”Meta” and increased demand for blockchain gaming tokens may help lift ENJ price.
