Ethereum Name Service shoots up by 40% after Ethereum nearly hits $2,700

Ethereum price has seen considerable growth over the past week thanks to the spot Bitcoin ETF approval. While the market was expecting a decline in the altcoin prices, the opposite happened as other altcoins, including Ethereum namesakes, rallied significantly.

Ethereum Name Service banks on ETH rally

Ethereum Name Service (ENS), which is the namesake of the Ethereum chain, is also a major component of the blockchain. It is a distributed, open, and extensible naming system that converts human-readable Ethereum addresses into machine-readable alphanumeric codes.

The demand for .ens addresses surged in 2021 and 2022 but fell short of making history during the 2023 bear run.

However, the native token ENS recovered this past week, rising by almost 60%, with nearly 40% of the surge coming in the past 24 hours. As Ethereum price shot up to $2,700 during the intra-day trading hours, ENS rallied too, trading at $22.68 at the time of writing.

ENS/USD 1-day chart

Although a slight correction of 7% was observed in the last few hours, the token is holding strong around the $22.78 support line. The price indicator Relative Strength Index (RSI) is noting a heavily bullish momentum, with the RSI sitting in the overbought zone above 70.0. This suggests that ENS price could increase further, potentially breaching the $24.74 resistance level if the altcoin bounces back fuelled by broader market bullish cues.

However, if the $22.78 support line is lost, a fall to $20.44 is likely, falling through, which would invalidate the bullish thesis and result in further decline.