Enjin Coin Price Prediction: ENJ ballistic uptrend continues despite weakening on-chain metrics


  • Enjin Coin is pushing to new record highs after bouncing off ascending trendline support.
  • The RSI shows that buyers are firmly in control in spite of the overbought conditions.
  • On-chain metrics seem to be lagging behind the upswing, hinting at a potential correction in the near-term.

Enjin Coin seems to have ignored the numerous calls for a local top. The token has sprung above ascending trendline support and is nurturing another uptrend to new record highs. At the time of writing, ENJ is doddering at $2.12 after accruing over 18% in gains on the day.

Enjin Coin rally is unstoppable

The Relative Strength Index (RSI) on the 4-hour chart illustrates a stronger bullish front. The indicator signifies how strong an asset’s trend is and identifies oversold and overbought conditions. Meanwhile, the RSI is in the overbought region, but its positive gradient suggests that Enjin Coin is firmly in the bulls’ hands.

The uptrend to new record highs will remain in place if Enjin Coin holds the trendline. Note that the price is above all the applied moving averages, including the 200 Simple Moving Average, the 100 SMA, and the 50 SMA. The gap between the 50 SMA and the other moving averages clearly shows that buyers are in control.

ENJ/USD 4-hour chart

ENJ/USD 4-hour chart

On-chain metrics struggle to catch up with the technical levels

Enjin Coin MVRV ratio has hit figure two, the highest over the last 30 days. In other words, all investors are at a profit and therefore likely to sell. The MVRV measures the profit or loss of the ENJ holders. The model tracks tokens “moved in the last 30 days, based on the price when each token last moved.”

Enjin Coin MVRV

Enjin Coin MVRV

Santiment’s network growth on-chain metric has recently dropped from the 30-day top of 2,052 newly created addresses per day. At the moment, only 968 addresses are on average joining the network, representing a 52.8% drop. The model illustrates user adoption over time, and traders can use it to gauge network adoption. A declining network growth shows that the network is losing traction and is a bearish signal.

Enjin Coin network growth

Enjin Coin network growth

Enjin Coin whales are also on a selling spree, according to the holder distribution. The number of addresses containing 1 million and 10 million addresses dropped from a 30-day high of 80 to the current 69, representing a 13.8% decline.

Enjin Coin holder distribution

Enjin Coin holder distribution

The decrease in the number of large volume holders confirms the MVRV suggestion that investors are likely to sell when they are in profit. As selling pressure rises, the anticipated local top will come into the picture and pave the way to a significant correction.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Cryptos feed

Latest Crypto News


Latest Crypto News & Analysis

Editors’ Picks

BTC struggles, while ETH dominates and XRP pursues $2

Bitcoin price having trouble shaking the magnet effect of a critical intermediate-term moving average, despite broader strength in the cryptocurrency market. 

More Crypto News

Ethereum Classic looks primed to retrace following 260% rally

Ethereum Classic price displays a lack of bullish momentum as it consolidates below $96.94. A 15% pullback to the immediate demand zone that ranges from $72.23 to $79.37 seems likely. ETC will face a make-or-break point around this support barrier.

More Ethereum Classic News

Chiliz anticipates 50% gains

Chiliz price recently bounced off a critical support level at $0.473 and eyes a 50% upswing. CHZ needs to slice through a significant supply zone that extends from $0.593 to $0.657 to seal its bullish fate. A breakdown of the $0.430 support level will signify the start of a new downtrend.

More Chiliz News

Ethereum consolidates, but on-chain indicators predict another blastoff soon

Ethereum price is tightly wound as its range-bound movement continues after setting up an all-time high on May 5. ETH might retest its swing low before surging higher and potentially rallying to new highs.

More Ethereum News

BEST CRYPTO BROKERS/EXCHANGES




Bitcoin Weekly Forecast: Markets revert to mean, but BTC price remains indecisive

Bitcoin price shows considerable strength after springing from the recent crashes. Still, it is uncertain whether the current bullish impulse will morph into a new uptrend or lead to a more profound decline.

Read the weekly forecast

BTC

ETH

XRP