The NFT Enjin (ENJ) and Immutable X (IMX) projects explode despite market correction
- NFT projects like Enjin and Immutable X have seen double-digit returns, with Immutable X reaching an all-time high today.
- Enjin is up more than 50% in the past four days.
- Meanwhile, Immutable X has grown by more than 70% over the same period.
Many Metaverse and NFT assets in the crypto market have seen massive gains since Facebook announced they would be renaming themselves Meta to focus on building virtual reality worlds. NFT-focused projects like Enjin and Immutable X have recently benefited from this effect.
Analysis of ENJ
Enjin hit a seven-month high today amid growing interest in digital assets related to Metaverse and NFT.
This altcoin can now offer an opportunity to buy for investors who missed it before entering pricing mode. ENJ has seen a 54% rally over the past four days. It rose from a low of $ 2.55 on November 16 to a high of $ 3.91 today. While many top stocks have suffered a sharp correction this week, ENJ has continued its uptrend to retest the previous all-time high of $ 3.94.
Demand for Metaverse and NFT-related coins has increased since Facebook announced it was renamed Meta in late October, and other notable bulls in the market include Decentraland (MANA) and The Sandbox (SAND).
The Tom DeMark (TD) Sequential indicator has now given a sell-signal on the 4-hour chart of Enjin Coin. This signal developed as a 9 count red candlestick which indicated a correction that lasted from 1 to 4 4 hour candles before the uptrend resumed. The rise in profit taking could confirm the pessimistic near-term outlook.
ENJ / USDT 4-hour chart | Source: TradingView
In this area, ENJ can break the USD 3.62 support and retest the strong support at USD 3.40 – USD 3.20. This is where ENJ can hit a local low and offer traders the opportunity to enter the market.
As long as the $ 3.40 to $ 3.20 zone holds, ENJ could rebound and make new all-time highs around the $ 4.30 to $ 4.50 zone.
Immutable X (IMX) is up 70% since Nov. 16 and hit a new all-time high of $ 8.70 today. This important milestone surprised many investors as the rest of the crypto market fell over the same period. Although the token has entered pricing mode, it may face a brief correction before moving any further.
The TD Sequential indicator showed a sell-signal in the form of a green candle with nine counters on the 4-hour chart of IMX. Increased selling pressure around the current price level may push Immutable X toward the 78.6% and 61.8% fib retracement levels at $ 7.90 and $ 7.30, respectively.
IMX / USDT 4-hour chart | Source: TradingView
The USD 7.30 support could serve as the “maximum” point for a possible correction. Given the strength of the uptrend IMX was experiencing, the price could rebound quickly from a brief correction. Heightened buying pressure at $ 7.30 could lead the Immutable X to new all-time highs of $ 9.70 or even $ 10.20.
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According to crypto briefing