ENS Token Blasts Off by 70% Amid Praise from Ethereum Creator Buterin

Key Insights

• ENS token price surged 70% following praise from Ethereum co-founder Vitalik Buterin.
• Buterin called ENS "super important" and highlighted its role in simplifying Ethereum addresses.
• The Ethereum Name Service (ENS) allows users to create human-readable domain names on the Ethereum network.
• These ".eth" names replace lengthy hexadecimal addresses, making them easier to remember and use.
• Despite a slight dip after the ETF dismissal rumour, Ethereum Name Service remains 32% higher over the past day and is attempting to break above $14. 

Over the last day, the Ethereum Name Service (ENS) token has surged by as much as 70% in value, after a single comment from Ethereum co-founder, Vitalik Buterin.

Let's go over what happened with this cryptocurrency, what Buterin thinks, and where it is headed in terms of price.

The Ethereum Name Service

The Ethereum Name Service allows users to create and maintain human-readable domain names on the Ethereum network.

In essence, instead of a user's address looking something like the regular "0x67b…" hexadecimal string, individuals can choose short and easy-to-remember names that end in ".eth".

The Ethereum Name Service has a native token called $ENS, with which holders can trade and participate in governance on the Ethereum Name Service Platform

This token has exploded in price after being praised by Buterin for being "super important"

Vitalik Buterin Says ENS "super important"

Co-founder of Ethereum, Vitalik Buterin sent out a post on X (formerly Twitter) on 3 January.

In this post, Buterin expressed gratitude and endorsed the Ethereum Name Service.

Buterin says that the Ethereum Name Service is "extremely significant" and makes accessing Ethereum cheap and easy for all network users.

What's more, these ENS names also work on L2 chains like Polygon, arbitrum, Avalanche and Optimism.

Buterin recommended that "trustless, merkle-proof-based" CCIP resolvers be used in layer-2 solutions.

These protocols enable users to update and validate ENS subdomains across several tiers. As a result, ENS subdomains would be "registerable, updateable, and readable directly on L2s,"

Ens Token Surges To Eight-Month High

The price and trading volume of the ENS token skyrocketed after Buterin's X post.

According to CoinMarketCap, the cryptocurrency rallied by more than 70% on Wednesday from an annual low of $8.50 to an eight-month high of $14.70, before declining along with the rest of the market over the fake reports of an ETF dismissal.

At the time of writing, Ethereum Name Service is still up by about 32% over the last day and currently trades a around $13.83.

According to the charts, Ethereum Name Service has recovered strongly, after declining strongly throughout 2023.

However, after retesting the $6.6 support for the second time in October 2023, the cryptocurrency has been on a tear and is currently trying to break through $14.

Overall, we can say that the $6.6 zone was the market bottom for $ENS, and the cryptocurrency (as well as its popularity) can only continue to go up from here.

Disclaimer: Voice of Crypto aims to deliver accurate and up-to-date information, but it will not be responsible for any missing facts or inaccurate information. Cryptocurrencies are highly volatile financial assets, so research and make your own financial decisions.