EigenLayer (EIGEN) Token Rallies 28.58% Since Monday, Bulls Target $4.5

EigenLayer [EIGEN] was trading just below the $4 level at press time. A few hours earlier, it emphatically climbed from $3.71 to $4.13, an 11.8% jump within two hours.

EigenLayer (EIGEN) was trading just below the $4 level at press time. Earlier today, it had undertaken a sharp move from $3.71 to $4.13, notching an 11.8% gain over two hours.

Since Monday’s low at $3.28, the EIGEN token had noted gains of 28.58% at the time of writing. This short-term rally also saw a resistance level at $3.7 breached, a level that EIGEN had struggled at last week.

Extension Fib Levels Give Bullish Targets / Source: EIGEN/USDT on TradingView

From 3 to 7 October, EIGEN had largely traded between $3.255 and $3.7. A drop to $3.1 on 6 October saw bulls begin a recovery from later in the day.

Trading volume was seen to be high during this move up this week. The Money Flow Index also depicted strong buying pressure, although traders might want to keep an eye out for a potential bearish divergence.

Price was seen to be trading in the upper half of the Bollinger Bands. The width of the bands showcased the high volatility of the past two days. The 20-period SMA was expected to act as support in case of a price dip.

Fibonacci extension levels were plotted beyond $4.04 to present traders with short-term targets. These levels were charted using the impulse move higher that breached the $3.7 resistance.

Strong Bullish Conviction Maintains / Source: Coinalyze

The Open Interest was seen trending higher over the past three days, along with the price of EIGEN.

This showed strong bullish sentiment in the futures market and a willingness to go long, despite Bitcoin [BTC] struggling to scale the $63k resistance zone.

The spot CVD has been flat in recent days but began shifting that trend upwards in the past 24 hours. The high funding rate pointed to the prevalence of long positions.