Enjin NFTs receive new utility with Drops integration as ENJ price eyes 33% ascent
|- Enjin Coin price is at an inflection point, awaiting a 33% upswing.
- The ERC-1155 NFTs minted by Enjin will receive a boost due to integration with Drops.
- A breakdown of the $1.117 support level will invalidate the bullish thesis for ENJ.
Enjin Coin price is taking multiple jabs at slicing through the range’s midpoint to establish a bullish outlook. Although its recent attempt failed, the upcoming efforts of ENJ bulls are expected to be fruitful.
Drops partners with Enjin
Drops, a platform that provides loans for NFT and DeFi assets, recently announced its integration with Enjin. The collaboration adds value to Enjin’s already popular NFTs, which are based on the ERC-1155 standard.
This integration will allow users to borrow a range of Ethereum-based assets and stablecoins without selling their NFTs. With the DeFi landscape improving exponentially during the recent bull run, the borrowed funds can be used in many products like yield farming via Drops Vaults and more.
On this note, the blog adds,
The ENJ token will also be whitelisted for use as collateral within the Drops loans protocol, allowing users to borrow a range of supported assets against their ENJ holdings, including USDC, ETH and WBTC.
While this is a massive upgrade for NFT users in the Enjin ecosystem, the collaboration with Drops has plans of integrating Enjin’s Polkadot-based NFT blockchain, Efinity. Additionally, Drops wants to implement "Loans products" into the wildly popular Enjin Wallet.
ENJ price looks to set up higher high
Enjin Coin price tried to slice through the 50% Fibonacci retracement level at $1.394 thrice over the past week, but it failed each time. This inability could be attributed to the recent slowdown in Bitcoin price.
However, the next attempt will likely shatter the midpoint, opening up the possibility of a 10% move to the immediate resistance level at $1.543. This barrier has prevented an up move since June 5, which makes it formidable.
Hence, a decisive 6-hour candlestick close above $1.543 will indicate an increased buying pressure that might propel ENJ to $1.737, a 33% ascent.
ENJ/USDT 6-hour chart
On the flip side, if the latest attempt to slice through $1.394 is unsuccessful, it will likely indicate a weak buying pressure. This development might trigger a 13% downswing to the immediate support level at $1.117.
While a minor sweep below this barrier is likely, a full-blown breakdown followed by an inability to reclaim it will invalidate the bullish thesis.
If this were to happen, Enjin Coin price might revisit the support floor at $1.065.
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