The technical table indicates more potential for the ENJ token

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The ENJ token exhibited an impressive rally after its minor retracement phase. The token jumped about 50% from this week’s low and also broke the all-time high resistance of $ 3.53. The symbolic price which remains above this resistance should initiate a strong rally in ENJ.

Key technical points:

  • The ENJ token price action forms a cup and a handle in the daily period chart.
  • The daily RSI chart shows significant bearish divergence for the ENJ price.
  • The intraday trade volume of the ENJ token is $ 1.6 billion, indicating a rise of 51.4%.

Source- ENJ / USD chart by Tradingview

The ENJ token has indicated a great opportunity for its traders by forming a cut and handle pattern in the daily period chart. The neckline of this model was also the ATH resistance level, which is $ 3.53. And on November 19, the token provided a deceptive breakout of that air resistance, triggering an entry signal for these traders.

The crucial EMAs (20, 50, 100 and 200) show the strong bullish alignment for the ENJ token. In addition, line 20 EMA strongly supports the price of the token.

The relative strength index value of 69 suggests that the token is maintaining a bullish sentiment. However, the RSI is showing considerable bearish divergence in its chart, indicating doubts for this bullish rally.

ENJ / USD chart over a period of 4 hours

TradingView Chart

Source- ENJ / USD chart by Tradingview

The ENJ token price moved back to the neckline of $ 3.53 to verify the correct support. The chart displayed a bullish 4 hour engulfing candle indicating strong bullish momentum in this token. However, the bearish divergence of the RSI cannot be ignored and therefore crypto traders must follow strict risk management if they enter with a long trade.

Based on traditional daily pivot levels, the closest resistance for this token would be $ 4.66 and later $ 5.85.

Disclaimer

The content presented may include the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication assumes no responsibility for your personal financial loss.

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