Cryptocurrency prices don’t appear to be the only ones to surge after the Ethereum name service [ENS] Every development activity has spiked recently. There is no doubt that the open source naming system needs to be restored after months of integration, and the increase in development activity does meet that requirement.
Supporting the recovery, the ENS price also rose 9.38% to $18.38. However, in addition to the overall market recovery, a surge in development activity appears to be the cornerstone of this growth. But what else?
Here’s AMB Crypto Price Prediction for Ethereum Name Services [ENS] 2022-2023
According to Santiment, ENS development activity has dropped to 0.54 on October 23. At this point, it hints that ENS is slowing down in perfecting its network.
Santiment also revealed that just the next day (October 24th) ENS decided to resume upgrading its on-chain network. Development activity has surged to 4.5 at press time. The impact of this growth was also reflected in transaction volumes, which increased to $96.64 million.
Q3 has everything else to show
However, this remarkable rise does not appear to be sudden. According to Messari, the performance of ENS in the third quarter (Q3) may be related to the recent rebound. The cryptocurrency intelligence platform showed in a recent Twitter post that the overall performance of ENS in the third quarter was mostly positive.
According to the Messari report, ENS generated better revenue compared to the previous quarter. This happens when the cryptocurrency market makes less profit for investors most of the time.
1/ Addressing issues related to handling error-prone blockchain addresses, @ensdomains stays healthy during market downturns.
Both performance and revenue metrics improved in the third quarter. pic.twitter.com/kcqHhTqX4i
— Messari (@MessariCrypto) October 28, 2022
According to the Messari report, ENS revenue grew 66% sequentially. This means that more investors are paying attention to the ENS direction and participating in the network. As for its field segment, growth was initially stunted and then declined.
This reduction is responsible for a 600% increase in expression and non-renewal. However, renewals tripled in the last quarter. As a result, only a small portion of the cryptocurrency community remains interested in acquiring Crypto collectibles.
To stay excited or not to be excited?
As expected, ENS investors will be delighted with the recent rally. Also, staying the same by expecting growth to be maintained may not be a big failure. According to the four-hour chart, the relative strength index (RSI) suggests that ENS maintains strong buying momentum.
With its value at 55.75, ENS is unlikely to fall into selling pressure unless it reaches overbought levels. This can happen if volume increases and traders start to sell. Likewise, the exponential moving average (EMA) shows that prices can stay green for a while.
At press time, the 20 EMA (blue) is still above the 50 EMA (yellow). With this stance in mind, ENS investors may be assured in the short term. However, the uptick in volatility shown by the Bollinger Bands (BB) is another aspect to consider as it could lead it into a reversal pattern.
Source of information: Compiled from AMBCRYPTO by 0x Information.The copyright belongs to the author and may not be reproduced without permission