ENS hits $15 on bullish breakout, but overhead resistance and weak demand zones raise questions over further upside | Credit: Hameem Sarwar
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Key Takeaways
ENS broke out of a prolonged bearish trend, bouncing from a low of $12.55, but faces resistance.
IntoTheBlock’s data shows a major supply zone at $17.30, where ENS holders may hinder the rally.
If the bearish indicators persist, ENS could fall to $11.89, but renewed demand could drive it higher.
ENS, the native token of Ethereum Name Service, has bounced back above $15 after a rough 12-week slide that began in late January.
While ENS has broken out of that bearish pattern, several indicators suggest it is not yet out of the woods.
Unless these signals begin to turn more favorable, the rebound could lose steam, raising questions about whether this rally has real legs or is just a temporary bounce.
ENS Breaks Bearish Trend
After plunging from a high of $35.60 to a low of $12.55 over a three-month downtrend, ENS price has finally broken free.
Over the weekend, intense buying pressure pushed the altcoin out of its bearish pattern. According to the daily chart, ENS not only exited the falling trendline but also managed to hold above it, signaling a potential trend reversal.
Adding to the bullish case, the Relative Strength Index (RSI) climbed higher. The RSI measures momentum using the speed and size of price changes.
As of this writing, the indicator has risen above the 50.00 midpoint, indicating bullish momentum. Despite that, ENS price remains below the Ichimoku Cloud.
The Ichimoku Cloud primarily spots support and resistance. When the cloud is below the price, it indicates support.
But in this case, the cloud is above ENS, indicating that the token will likely face stronger resistance at higher levels.
From an on-chain perspective, CCN examined the In/Out of Money Around Price (IOMAP). The IOMAP reveals where holders bought their coins and whether they are currently in profit (“in the money”) or at a loss (“out of the money”) based on the current price.
It also tells where support and resistance exist. Large green bubbles below the price indicate a strong demand zone (support).
However, large red bubbles above the price equal the supply region where selling pressure is likely.
Currently, the main resistance is $17.30, and over 1,000 addresses hold 1.34 million ENS. This zone could pose a serious hurdle.
ENS In/Out of Money Around Price | Credit: IntoTheBlock
More importantly, the volume of ENS held “out of the money” is heavier than in the support range between $12.89 and $15.14. As a result, ENS may face a pullback that could prevent a quick climb toward the $20 mark.
ENS Price Analysis: Altcoin to Face Fresh Pressure
In line with the thesis above, the ENS/USD chart shows that the Cumulative Volume Delta (CVD) is negative. This negative reading indicates that buying pressure is fading, and sellers are taking over.
If sustained, ENS price risks falling below the descending trendline it recently broke above. Should the trend remain the same, sellers might tug ENS back, and the value could drop to $11.89.
Alternatively, a rise in buying pressure could invalidate this prediction. In that scenario, ENS price might rise to $21.10 at the 0.236 Fibonacci level.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Victor Olanrewaju is a crypto analyst and reporter at CCN with deep roots in on-chain research and technical analysis. His crypto journey began in 2017, but it was the 2020 Uniswap airdrop that sparked a full-time pivot into the space.
With a foundation in copywriting, Victor honed his craft creating high-converting content for leading crypto brokers — most notably an XRP price prediction that ranked #1 on Google during the 2021 bull run.
He later joined AMBCrypto in 2022, where he combined storytelling with technical and on-chain analysis to cover key market narratives.
In 2024, he expanded his expertise at BeInCrypto, collaborating with analysts and using tools like Glassnode, Santiment, and IntoTheBlock to break down Bitcoin and altcoin trends.
At CCN, Victor covers the top cryptocurrencies, memecoins, macro shifts, blending real-time insights with deep-dive metrics.
He holds a Bachelor’s degree in Physics from the University of Ibadan, equipping him to simplify complex data for a wide audience. Follow his work or connect on LinkedIn or X.
