Why did the price of ENS go up?

Ethereum Name Service (ENS) increased by 2.77% in the last 24 hours, outperforming the overall crypto market, which rose by 1.6%. This adds to a 12.05% gain over the past week, although ENS is still 1.99% below its 30-day average. The main factors behind this movement include:

1. Growing Privacy Features – A new Ethereum privacy plan boosts ENS’s usefulness
2. Security Recognition – ENS nominated for a Safe Harbor white hat award
3. Positive Technical Signals – Price stays above key support with a bullish indicator crossover

In-Depth Look

1. Ethereum Privacy Roadmap (Positive for ENS)

What’s happening: The Privacy Stewards of Ethereum (PSE) initiative, launched on September 15, 2025, includes ENS as a key part of building decentralized identities for privacy-focused Layer 2 networks like Aztec Network. This makes ENS important for creating stealth addresses and privacy-compliant solutions.

Why it matters: As privacy features improve, more people and developers may want ENS domains to securely identify themselves on encrypted Layer 2 platforms. Aztec’s mainnet is expected by late 2025, encouraging early adoption of ENS.

What to watch: Progress on Aztec’s mainnet launch and how ENS integrates with it.

2. Security Award Nomination (Mixed Impact)

What’s happening: ENS was nominated for the Safe Harbor white hat awards on October 1, recognizing its commitment to security standards. While this is good for ENS’s reputation, the award focuses on security practices rather than directly increasing the token’s value.

Why it matters: The nomination boosts ENS’s credibility in decentralized governance. Although it doesn’t immediately affect the token’s price, wider adoption of Safe Harbor security frameworks could lead to partnerships that benefit ENS in the long run.

3. Technical Analysis (Bullish Signs)

What’s happening: ENS’s price recently moved above its 7-day simple moving average ($20.95) and showed a bullish MACD crossover, a technical signal that often indicates upward momentum. The current price ($22.02) is above a key support level at $21.63, suggesting the price may consolidate before trying to reach the next resistance at $23.01.

Why it matters: Traders are defending important support levels, and the relative strength index (RSI) shows there’s room for the price to go higher. Trading volume is steady, and the MACD momentum suggests short-term traders are optimistic.

Summary

ENS’s recent price increase reflects positive sentiment about its growing role in Ethereum’s privacy upgrades, supported by strong technical indicators. The security award nomination adds to the positive story but doesn’t directly impact price. Overall, ENS’s price movement is still influenced by broader trends in the Ethereum ecosystem.

Key point to watch: Will ENS stay above $21.63 to challenge resistance near $23.87 as interest in altcoins grows?

What could affect the price of ENS?

The Ethereum Name Service (ENS) balances growing usefulness with risks from its token supply.

1. DAO Funding & Upgrades – New teams and moving to Layer 2 could increase adoption (Mixed Impact)
2. Token Unlocks – Over $7 million in tokens unlocking in September 2025 could lead to price pressure (Bearish Impact)
3. Web3 Identity Demand – PayPal and Venmo integration is driving mainstream use (Bullish Impact)

Deep Dive

1. DAO Funding & Layer 2 Migration (Mixed Impact)

Overview:
The ENS decentralized autonomous organization (DAO) recently approved funding for eight teams to develop the protocol further. This includes ENSv2, a planned move to a Layer 2 network (likely Linea) aimed at lowering transaction fees and improving scalability. This follows the July 2025 launch of ENS subnames with Gemini and Base App, which saw over 750,000 registrations (ENS Domains).

What this means:
Moving to Layer 2 could make it cheaper and easier for users to register ENS domains, increasing revenue for the DAO. However, delays or technical challenges could slow progress. Also, tokens allocated to these projects are locked for four years, which limits immediate selling pressure.

2. Token Unlock Overhang (Bearish Impact)

Overview:
On September 15, 2025, 332,000 ENS tokens (worth about $7.33 million at current prices) will unlock. These tokens are part of the 50% allocated to the DAO treasury. Currently, 37.4 million tokens are circulating (37.4% of the total supply), while 62.6 million remain locked (CoinMarketCap).

What this means:
When tokens unlock, there’s a risk the DAO might sell some to cover expenses, which could increase selling pressure and push prices down. For example, in August 2025, ENS’s price dropped 8% after a $4 million team wallet transfer to exchanges (Binance News).

3. Web3 Identity Adoption (Bullish Impact)

Overview:
In July 2025, PayPal and Venmo integrated ENS to simplify crypto transactions, allowing users to send funds to “.eth” addresses instead of complex wallet strings. This followed Coinbase Germany listing ENS, which caused a 38% price increase (CCN).

What this means:
When popular platforms adopt ENS as a standard for digital identity, it can drive user growth. After PayPal’s integration, ENS registrations jumped 157%, and the price rose 19% in the following week. Continued adoption could help balance out the negative effects of token unlocks.

Conclusion

ENS’s price will depend on how well it balances new utility from DAO projects and Layer 2 upgrades against the risks from increasing token supply. Short-term risks include the September token unlocks, while long-term growth depends on Ethereum’s role in decentralized digital identity. The key question: will ENS’s growing adoption in Web3 outpace the challenges from token vesting schedules?

What are people saying about ENS?

The buzz around Ethereum Name Service (ENS) swings between exciting identity tech breakthroughs and cautious trader sentiment. Here’s what’s trending right now:

1. Bullish outlook – Analysts are targeting prices between $32 and $38, boosted by new partnerships.
2. Bearish concerns – Short sellers are increasing their bets as technical indicators suggest ENS might be overbought.
3. Growing adoption – PayPal and Venmo have started integrating ENS, making it easier for users to adopt.

Deep Dive

1. Technical breakout signals targets above $32 — Bullish

John Morgan (@johnmorganFL), a well-followed market analyst, shared that ENS is trading within a range that suggests a potential price increase to between $32.01 and $38.57.
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What this means: This is positive news for ENS. The analysis points to “liquidity sweeps” and “higher timeframe confluence,” which are ways institutional traders identify strong buying opportunities. Simply put, it suggests big investors might be preparing to push prices higher.

2. Gemini partnership boosts identity use — Bullish

ENS announced a partnership with Gemini, a major cryptocurrency exchange, where every Gemini wallet will receive a gemini.eth subname to simplify account recovery.
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What this means: This partnership is a big win for ENS. With over 750,000 .base.eth handles already in use, enterprise adoption like this directly supports ENS’s growth and revenue, showing real-world demand for its technology.

3. Short sellers eye $16 liquidity level — Bearish

An anonymous trader on CoinMarketCap pointed out that ENS has struggled to break higher and that the $16.03 price level is attracting short sellers.
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What this means: This is a warning sign for ENS. The trader uses “order block theory,” a strategy popular among algorithmic traders, to suggest that if ENS falls below this level, it could trigger a cascade of sell-offs.

Conclusion

The outlook for ENS is mixed. On one hand, growing adoption through PayPal and Venmo integrations and improvements in scaling technology support a bullish case. On the other hand, traders using derivatives are cautious and placing bets against further price gains near resistance levels. Keep an eye on the $26.15 support level — if it holds, the uptrend may continue; if it breaks, it could signal profit-taking heading into the final quarter of the year.

What is the latest news about ENS?

Ethereum Name Service (ENS) is advancing alongside Ethereum’s focus on privacy while reinforcing its security reputation. Here are the key updates:

1. Ethereum Privacy Roadmap Launch (October 3, 2025) – ENS has been integrated as the core identity layer in Ethereum’s new privacy-focused ecosystem.
2. White Hat Security Nomination (October 1, 2025) – ENS was recognized for adopting ethical hacking protections through the SEAL Alliance.
3. DAO Legal Funding Vote (September 29, 2025) – The ENS community approved a $110,000 grant to support important legal defense efforts.

Deep Dive

1. Ethereum Privacy Roadmap Launch (October 3, 2025)

Overview:
The Privacy Stewards of Ethereum (PSE) initiative announced plans to make Ethereum the foundation for private transactions and decentralized identity management. ENS is now the standard naming system for new privacy-focused Layer 2 networks like Aztec Network. Its .eth domain names act as easy-to-read identifiers linked to private addresses and zero-knowledge proof systems.

What this means:
This move increases ENS’s role in private transactions and aligns it with Ethereum’s goal of privacy that meets regulatory standards. As encrypted Layer 2 solutions become more popular after Ethereum’s Dencun upgrade, ENS could see more use in private decentralized finance (DeFi) and voting applications. (CCN)

2. White Hat Security Nomination (October 1, 2025)

Overview:
ENS Domains was nominated for the SEAL Safe Harbor Champion Awards, which honor projects that protect ethical hackers. ENS is one of 14 decentralized finance platforms with $20 billion in total value locked (TVL) that have adopted SEAL’s legal protections for white hat security researchers.

What this means:
This nomination highlights ENS’s dedication to security across its ecosystem. With 79 ethical hackers already safeguarding ENS-powered systems, this recognition could boost trust from institutions as ENS prepares for its upcoming ENSv2 upgrades. (MEXC News)

3. DAO Legal Funding Vote (September 29, 2025)

Overview:
The ENS decentralized autonomous organization (DAO) voted to spend 109,818 USDC to cover legal fees defending against a trademark dispute, with 93% of voters in favor. This comes amid growing regulatory attention on web3 naming systems.

What this means:
The strong community support shows a unified effort to protect ENS’s intellectual property. However, ongoing legal expenses could strain the DAO’s $25 million treasury if trademark issues continue after the ENSv2 launch. (CoinDesk)

Conclusion

ENS is positioning itself at the crossroads of Ethereum’s privacy advancements, security best practices, and decentralized governance. With important protocol upgrades coming soon, the challenge will be balancing its open-source values with the need to comply with regulatory requirements as it aims to be the leading naming standard for web3. Keep an eye on ENSv2 testnet developments and DAO treasury decisions in the fourth quarter.

What is expected in the development of ENS?

The Ethereum Name Service (ENS) is moving forward with some important updates:

1. ENSv2 Moves to Layer 2 (Q1 2026) – Core functions will shift to a Layer 2 network to lower fees and speed up transactions.
2. Social Recovery Feature (2026) – Users will be able to recover their wallets through trusted contacts or devices.
3. Cross-Chain Compatibility (2026) – ENS names like “alice.eth” will work across other blockchains like Bitcoin and Solana.

Deep Dive

1. ENSv2 Moves to Layer 2 (Q1 2026)

What’s happening? ENS plans to move key actions like registering and renewing domain names to a Layer 2 solution (such as Optimism or Linea). This change aims to cut transaction fees by about 90% and make the process faster. This is based on a proposal from ENS Labs to improve scalability while keeping Ethereum’s security.

Why it matters:

• Positive: Lower fees could encourage more people, especially in developing regions, to use ENS.
• Challenges: Success depends on how well Layer 2 networks are adopted and how smoothly they work with Ethereum’s main network.

2. Social Recovery Feature (2026)

What’s happening? ENS is building a way for users to recover their domain names if they lose access. This will let users pick “guardians” — trusted friends, family, or devices — to help regain control. This solves a big problem where losing access to a .eth name could mean it’s gone forever.

Why it matters:

• Positive: Makes ENS safer and easier for everyday users by reducing the risk of losing domains.
• Challenges: Setting up and getting people to use this social recovery system could be complicated.

3. Cross-Chain Compatibility (2026)

What’s happening? ENS wants to expand beyond Ethereum to support other blockchains like Bitcoin, Solana, and Cosmos. Through something called CCIP-Read Gateways, ENS names will be able to work across these different networks.

Why it matters:

• Positive: This could make ENS a universal identity system for Web3, increasing its usefulness.
• Challenges: It requires cooperation with other blockchain communities and faces competition from services like Unstoppable Domains.

Conclusion

ENS is focusing on making its service more affordable, secure, and compatible with multiple blockchains. These improvements aim to strengthen ENS as a key identity system for the decentralized web. While technical challenges and adoption remain hurdles, these updates could boost demand for .eth domains over time.

How will ENS keep its decentralized nature while offering easy-to-use recovery options that don’t compromise user control?

What updates are there in the ENS code base?

Ethereum Name Service (ENS) has introduced important updates to improve scalability, security, and ease of use.

1. ENSv2 & Namechain Layer 2 Launch (June 30, 2025) – Moving core services to a dedicated Layer 2 network.
2. ENSv2 Hub Launch (August 5, 2025) – A central platform for ENSv2 resources and tools.
3. Email-as-ENS Integration (August 5, 2025) – Connecting email addresses to ENS names through zkEmail technology.

Deep Dive

1. ENSv2 & Namechain Layer 2 Launch (June 30, 2025)

What’s happening: ENSv2 is shifting its main functions to a Layer 2 solution on Ethereum called “Namechain.” This change lowers transaction fees and speeds up processes like registering and managing ENS names.

By moving away from the busy Ethereum main network, ENS can operate faster and more efficiently. Namechain uses a technology called Optimistic Rollups, which helps scale the system while keeping the security benefits of Ethereum. Developers will also be able to create ENS-compatible subdomains on other Layer 2 networks like Arbitrum and Base.

Why it matters: Lower costs and faster transactions make ENS names more attractive for uses like payments and digital identities, encouraging more people to adopt .eth names.

(Source)

2. ENSv2 Hub Launch (August 5, 2025)

What’s happening: The ENSv2 Hub is a one-stop website where developers and users can find everything about ENSv2. It includes tutorials, guides for switching to ENSv2, and tools for managing subdomains, resolving names across different blockchains, and importing DNS records without gas fees.

The Hub also offers video workshops to help users understand advanced ENS features.

Why it matters: Clear and easy-to-find information will help developers get started faster, leading to more apps and wallets integrating ENS, which increases its usefulness.

(Source)

3. Email-as-ENS Integration (August 5, 2025)

What’s happening: ENS has partnered with zkEmail to let users link their email addresses (like name@domain.com) to their ENS names. This allows wallet recovery through email and the ability to receive crypto using an email-linked ENS name.

This system uses zero-knowledge proofs, a privacy-focused method that confirms email ownership without revealing private information.

Why it matters: While this feature’s impact depends on support from wallets and decentralized apps, it has the potential to make ENS more accessible to everyday users by connecting traditional email identities with blockchain identities.

(Source)

Conclusion

ENS is focusing on making its platform faster and easier to use by moving to Layer 2 and adding email integration, along with centralized resources. With Namechain lowering costs and zkEmail opening doors for more users, ENS is positioning itself to become the go-to naming system across Ethereum’s growing Layer 2 networks.