- EOS price struggled to surpass the $3.660 and $3.680 resistance levels against the US Dollar.
- The price is currently declining and it is facing resistance near the $3.500 area.
- There was a break below a connecting bullish trend line with support near $3.480 on the 4-hours chart of the EOS/USD pair (data feed from Coinbase).
- The pair could continue to correct lower below the $3.400 and $3.320 support levels.
EOS price is currently correcting gains against the US Dollar, while bitcoin is declining. The price is likely to find a strong support near the $3.200 area.
EOS Price Analysis
This week, bitcoin, Ethereum, ripple, litecoin and EOS faced a fresh selling pressure against the US Dollar. Earlier, EOS price struggled to surpass the $3.660 and $3.680 resistance levels.
As a result, there was a fresh decline initiated from the $3.663 high. It broke the $3.550 and $3.500 support levels to move into a short term bearish zone. Moreover, there was a close below $3.500 and the 55 simple moving average (4-hours).
During the decline, there was a break below a connecting bullish trend line with support near $3.480 on the 4-hours chart of the EOS/USD pair. The pair is now trading near the $3.390 support area and formed a low at $3.383.
Recently, there was a minor upward move above $3.450. Besides, the price climbed above the 23.6% Fib retracement level of the decline from the $3.663 high to $3.383 low.
However, EOS seems to be facing a strong resistance near the $3.500 level and the 55 simple moving average (4-hours). Additionally, the 50% Fib retracement level of the decline from the $3.663 high to $3.383 low is near the $3.520 level.
Therefore, a clear break above the $3.520 resistance and the 55 SMA is needed for a fresh increase in the near term. The next major hurdles are near the $3.660 and $3.680 levels.
On the downside, an immediate support is near the $3.390 level. If there is a downside break below the $3.390 level, the price could continue to move down towards the $3.320 level. The main support is near the $3.200 level, where the bulls are likely to take a stand.
Looking at the chart, EOS price is clearly showing a few bearish signs below the $3.500 level. It seems like the price could extend its downside correction below the $3.400 and $3.320 levels. Once the current correction is complete, the price is likely to revisit the $3.660 resistance zone.
Technical indicators
Hourly MACD – The MACD for EOS/USD is losing momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI is currently declining towards the 40 level.
Major Support Levels – $3.390 and $3.320.
Major Resistance Levels – $3.500 and $3.660.
