- ENJ price tanked to the lower level since January this year.
- Enjin made a hard fork of Efinity to create Enjin Blockchain.
- There are concerns about most crypto tokens after the SEC lawsuit.
Enjin, a well-known Polkadot blockchain project, announced major changes to its Efinity project. In a statement, the developers launched Enjin Blockchain, a new platform that includes Efinity, a Polkadot parachain. ENJ, its token, slumped to $0.30, the lowest point since January this year.
Efinity parachain forked
Enjin Blockchain is different from other popular platforms in that it is one of the few chains that focus purely on non-fungible tokens (NFT). Further, it does not rely on smart contracts. Instead, it ensures that critical functions like creating, using, and sending NFTs are integrated into the foundation Substrate code.
It also have more features like Fuel Tanks and Discrete Accounts. Fuel Tanks are tools that make it possible for developers to subsidize the cost of transaction fees. Discrete Accounts, on the other hand, allow users to interact with the Enjin Blockchain without doing any installation.
Read more: How to buy Enjin.
In line with this hard fork, Enjin’s (ENJ) token will now move from Ethereum’s network to its own blockchain. Data compiled by Etherscan shows that Enjin’s token has over 171k users and has helped to facilitate over 2.2 million transactions.
Another important announcement was that Enjin Blockchain and the upcoming Enjin MatrixChain will be powered by ENJ token.
The announcement received no positive feedback from the community as evidenced by the ENJ price action. ENJ coin has plunged to the lowest level since January 13th. This happened as investors reacted to the recent lawsuit by the Securities and Exchange Commission (SEC). As I wrote in my article on EOS on Wednesday, the rally that happened was mostly a dead cat bounce.
Enjin price prediction
ENJ price has been in a strong bearish trend in the past few months. The current phase of the sell-off saw it drop below the key support level at $0.3320, the lowest level on March 11. Enjin has also moved below the 50-day moving average while the Relative Strength Index (RSI) has moved below the neutral point of 50.
Therefore, it seems like bears are in control, which could see it drop to the next key support level at $0.2291, the lowest level in 2022. This price is about 24% below the current level. A move above the resistance point at $0.3320 will invalidate the bearish view.
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