Amid Bullish Rally, Why Enjin Coin Price Is At Risk Of 17% Drop

Amid Bullish Rally, Why Enjin Coin Price Is At Risk Of 17% Drop

Published 21 mins ago

Similar to the majority of major cryptocurrencies, the Enjin coin price witnessed a sustained recovery in the first two weeks of 2023. The coin price has rallied 72.5% since January 1 and currently trades at the $0.39 mark. Furthermore, the U-shaped recovery in the daily chart reveals the formation of a rounding bottom pattern. Here’s how this bullish reversal could influence the ENJ coin’s future price.

Key Points: 

  • A higher price rejection at $0.4 resistance indicates a potential pullback in the ENJ price.
  • A bullish crossover between the 20 and 50 DMA would increase the buying pressure on the market.
  • The intraday trading volume in ENJ price is $164.4 Million, indicating a 372% gain.

Enjin Coin PriceSource- Tradingview

The rounding bottom pattern is one of the famous trend reversal patterns that offer steady recovery in any asset. Earlier today, the Enju coin witnessed a significant inflow that surged its market value by 20% and breached the local resistance of  $0.4.  However, a sudden downfall in the crypto market in the last few hours has evaporated these gains considerably and formed a higher price rejection at mentioned resistance.

Also Read: CRYPTO TELEGRAM CHANNELS LIST 2023

This rejection indicates high supply pressure, and If the daily candle closes below $0.4 resistance, the ENJ price would likely witness a minor pullback. This potential correction could tumble the price by 17.5% and revisit the $0.35 support. If this local support recuperates bullish momentum, and Enjin coin will resume the prevailing trend. 

Thus, under the influence of the rounding bottom pattern, this altcoin should eventually ride a steady recovery to hit the $0.49-$0.5 neckline resistance.

Technical Analysis

Vortex indicator: the enlarged gap between the VI+ and VI- slope projects a sustained buying of the market.

DMAs: In case of a possible retracement, the reclaimed DMAs(20, 50, and 100) could offer additional support to the rising prices. Conversely, the 200 DMA wavering around the $0.44 mark suppresses the bullish growth.

Enjin Coin Price Intraday Levels-

  • Spot rate: $0.39
  • Trend: Bullish 
  • Volatility: Medium
  • Resistance level- $0.4 and $0.49
  • Support level- $0.325 and $0.275

From the past 5 years I working in Journalism. I follow the Blockchain & Cryptocurrency from last 3 years. I have written on a variety of different topics including fashion, beauty, entertainment, and finance. raech out to me at brian (at) coingape.com

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.

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