There is no need to build a false dichotomy between the physical and spiritual. We can make a distinction between those two without falling into dualism. A naturalistic worldview will only acknowledge the material. But when people say the world is"enchanted" I understand that to mean spiritual. And in one sense, the entire material world is infused with the spiritual. This is, after all, a physical world made by God who is Spirit
Again, I believe everything is enchanted...including that big rock that appears in the sky that some people call the "moon." I'm not pagan but the moon is anything but a cold, lifeless rock orbiting the earth. God, put it there to teach us something about authority.
"And God made the two great lights—the greater light to rule the day and the lesser light to rule the night—and the stars." Genesis 1:16
"Then he dreamed another dream and told it to his brothers and said, “Behold, I have dreamed another dream. Behold, the sun, the moon, and eleven stars were bowing down to me.” Genesis 37:9