Can Ethereum Name Service (ENS) Bulls Set Their Sights on $40？

• The price of Ethereum Name Service has jumped by over 46%.
• The daily trading volume of ENS has exploded by 315%.

The cryptocurrency market cap rests at $3.31 trillion, registering a 2.59% surge in the past 24 hours. Despite the surge, the total trading volume has dropped by 8.36% to $201.06 billion. Notably, the Fear and Greed Index stands at 84, reflecting extreme greed.

Bitcoin (BTC) has managed to recover from its recent downtrend and climbed above $97K in the morning hours. While Ethereum (ETH) jumped to $3.6K, the token within its ecosystem, Ethereum Name Service (ENS) illuminated the bullish candle, and emerged as the top gainer, with a 24-hour jump of over 46%.

At press time, the asset trades at $35.31 with its daily trading volume reaching $2.51 billion. In the early hours, ENS visited its lowest price of $23.88 and eventually climbed to its current peak. Furthermore, the market observed a liquidation of $6.57 million worth of ENS during this timeframe.

On the other hand, an ENS whale entered the market after 5 months of dormancy, depositing 50K ENS, worth $1.66 million to Binance to secure a $968K profit. This whale accumulated 322,739 ENS in 2022 and has sold 272,739 ENS since January 2024. It currently holds 50K ENS, with an estimated profit of $2.9 million.

In addition, Ethereum Name Services rally gained momentum after Coinbase CEO, Brian Armstrong stated that ENS is a key decentralized identity project.

Will ENS See More Gains Ahead？

The technical analysis of Ethereum Name Service confirms the bullish sentiment in the market. The Moving Average Convergence Divergence (MACD) line is stationed above the signal line. It also signals a forthcoming positive trend, if the bullish momentum persists.

Besides, the Chaikin Money Flow (CMF) indicator is found at 0.20, suggesting positive money flow within the market and a possible surge in demand. Meanwhile, ENSs daily trading volume has increased by over 315%.

The four-hour price chart of Ethereum Name Service reports the asset has breached crucial resistance levels. ENS is nearing the $37 resistance level, breaking this range could likely ignite a potential rally. The price might climb to a high of $42 if the upward momentum persists.

On the flip side, if the upward trajectory reverses, a steady downside correction might appear and ENS may test the critical support level at $32. The price could slide down steeply if the asset fails to hold this range. Further decisive moves by ENS will determine whether it maintains momentum or falls into deeper consolidation.

Ethereum Name Services daily frame exhibits the short-term 9-day moving average above the long-term 21-day moving average. Moreover, the ongoing market sentiment of ENS is in the overbought territory with the daily relative strength index (RSI) positioned at 83.98.