Enjin Coin’s price remains near its lows this year due to concerns over the Non-Fungible Token (NFT) industry. The ENJ token is trading at $0.6030 on Tuesday, which is about 87% below its 2021 high, while the market cap is above his $549 million.
NFT Concerns Remain
Enjin is a large-scale blockchain project focused on the NFT industry. Its ecosystem consists of Wallets, Efinity, Marketplace and JumpNet that can manage NFTs and cryptocurrencies. Efinity is a platform built on the Polkadot ecosystem that describes the blockchain for NFTs.
People can use this platform to build, market, and sell NFTs. Some of its main features are decentralized governance, cross-chain bridges, fuel tanks, and price discovery capabilities. This is a very fast network with an average block time of just 12 seconds.
As a result, Enjin has created a complete ecosystem for individuals, businesses and developers. An individual can use the ecosystem to purchase new NFTs, which a company can use to launch his NFT solution. Finally, developers can use the tech to build her NFTs and games.
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The latest company to adopt Enjin was Square Enix, a major Japanese game developer. The company uses his Enjin tech to build NFTs tied to games like Final Fantasy VII.
As the NFT industry faces major headwinds, Enjin faces major challenges. After peaking in 2021, NFT volumes have been trending down significantly over the past few months. In fact, companies like OpenSea are slashing their workforce.
Analysts believe the industry will have major challenges to recover in the near future, as many people who bought NFTs have suffered substantial losses. At the same time, Enjin faces the challenge of competing with platforms such as Cronos and Theta.
Enjin Coin Price Prediction
ENJ prices have been in a tight range for the past few days as investors worry about the NFT industry. The coin is trading at $0.60, just above the year-to-date low of $0.3806. The Relative Strength Index (RSI) has been consolidating along the 25- and 50-day moving averages while above the neutral point.
Enjin’s price is likely to remain in a key range between $0.3806 and $0.7618. A move above the $0.7617 resistance will indicate that the bulls have the upper hand and push the price to the $1 resistance.