Deep Dive into ENS: Full Review of the Project and ENS V2

13 de jul.

📅 Let's move on to today's analysis. Today, I want to analyze the ENS coin, which is part of the Ethereum ecosystem. With this project, you can buy a domain for your wallet.

🗂 ENS v2 Update: Recently, ENS published an article and introduced the v2 update of the project, announcing that they have added a series of new features to their platform. By collaborating with L2 projects, they aim to reduce fees, increase flexibility, utilize multi-chain capabilities, and make their service more accessible, user-friendly, and cost-effective for everyone, playing a more significant role in the web3 space.

⚙️ How the Project Works: Let's dive deeper into the project and visit its website. The first image you see on the site is a very beautiful landing page. By clicking on "Launch App," you can enter the main space of the platform.



🧩 After launching the app, you need to connect your wallet to the site and search for your desired ID in the search bar. If the domain is available, you can purchase it. If it is registered, it means someone else has already bought it before you. As you can see in the example I searched for, "parham96.eth" has already been registered, but "parham96.box" is still available and hasn't been purchased yet.

🛍 After finding your desired domain, you need to confirm the transaction sent to your wallet. Currently, the cost of this operation, considering the Ethereum network fee, is about $6 for a one-year subscription. According to the project, after the v2 update, these costs will be lower.

🎈 After purchasing, to access the details of your purchased domain, click on the "My Names" section (I prefer not to show you an image of this section due to the privacy of my wallet). You can:

1. 👤 Add a profile picture for your wallet, write a bio, and connect your social media accounts from the profile section.
   
2. ⚡️ Add another address to your domain from the record section.
   
3. 🎲 Change the owner of the domain or renew it from the ownership section.
   
4. 🌐 Create a subdomain for yourself just like websites from the Subname section.
   
5. ⚓️ Use the permission and more sections to apply other desired settings to your purchased domain.
   

🌱 Usefulness of the Domain: For example, the "parham96.eth" domain is mine. In this case, I don't need to send my wallet address to someone who wants to transfer to me for each transaction. Just replacing the destination wallet address with the "parham96.eth" phrase will direct the funds to the same wallet. If you search for this domain on Etherscan, you can see it is registered on the blockchain and that the ownership of the domain is also viewable as an NFT in your wallet.



🔄 Renewing the Domain: Click on "Extend," then click "Next," followed by "Open Wallet" to create a transaction. Confirm the transaction through your wallet to renew the domain.

✨ ENS Coin: The ENS project also has a very well-known coin named ENS, which is among the top 100 coins in the market with an $800 million market cap. It is listed on all reputable exchanges, making it a successful project that can achieve even greater success with the launch of ENS V2.

🔍 Technical Analysis: In the daily timeframe, after the price reached a peak of 27.61, the market entered a range, with the price oscillating between 16.58 and 27.61. Following Bitcoin's significant drop, this coin also dropped to the 12.24 area. However, with the announcement of ENS V2 and collaboration with L2 projects, it started an upward movement and returned to the 27.61 area, even briefly breaking this level before returning below it in a fake breakout.

💥 Current Momentum: The price currently lacks momentum. After the fake breakout, there should have been a bearish momentum, but nothing has happened, and the market is still ranging.

📊 Volume Analysis: The volume clearly supports the buyers, as the buying volumes significantly exceed the selling volumes. In the recent bullish candles, the selling volume has significantly decreased.

🧲 Indicators: Due to the ranging market and lack of momentum, I am not using SMAs. However, a break below 43.36 on the RSI would confirm bearish momentum entering the market.

🛒 Long Position: The price has tested the 27.61 resistance six times so far, with increasing buying volume. Given the positive sentiment around ENS V2, it is possible that a few days before the launch, the price will stabilize above this level with a large bullish candle, leaving many behind.

🛎 Short Position: On the other hand, buyers may lose interest in breaking this resistance after six attempts, allowing sellers to enter the market and push the price down.

⚖️ Investment Strategy: If you believe ENS is a good project and that ENS V2 can generate bullish momentum in the market, consider adding this coin to your portfolio and purchasing it according to your strategy.

🎯 Target Prices: If the project succeeds and gains more hype, the initial target prices are 38.10 and 49.27, with the next target being the ATH of 75.80.



👨‍💻 Futures Trading:

• 📈 For a long position, a candle close above 27.61 in the 4-hour timeframe can confirm an upward trend. You can look for an entry trigger in the lower timeframes like 1-hour, with a target of 32.83.
  
• 📉 For a short position, a break below 23.30 and a candle close beneath this level can confirm a downward trend, with a target of 18.94.
  

♟ Personally, I will try to open a long position on this coin once the price stabilizes above 27.61. For short positions, I prefer to trade a coin with negative news and lacking a strong upward trend like ENS.

🧠💼 Always remember the inherent risks in futures trading, with the potential for margin calls if risk management is neglected. Stick to strict capital management principles and use stop-loss orders, ensuring an initial target with a risk-to-reward ratio of 2.

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