HomeAltcoin NewsEOS Price Analysis: Approaching Next Crucial Break, Can Bulls Make It?

EOS Price Analysis: Approaching Next Crucial Break, Can Bulls Make It?

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  • EOS price declined heavily this past week and even broke the $6.000 support against the US Dollar.
  • The price tested the $5.4000 support area and it is currently correcting towards $6.000.
  • There is a major contracting triangle forming with resistance near $6.250 on the 4-hours chart of the EOS/USD pair (data feed from Binance).
  • The pair is likely to make the next move either above $6.250 or below $5.850 in the near term.

EOS price is holding a few important supports against the US Dollar and bitcoin. The price must break the $6.250 resistance level to start a decent upward move.

EOS Price Analysis

This past week, there was a downside break in bitcoin, Ethereum, ripple, litecoin and EOS against the US Dollar. EOS price declined sharply below the $6.250 and $6.000 support levels. There was even a close below the $6.000 support and the 55 simple moving average (4-hours). It traded towards the $5.550 and $5.400 support levels. A new swing low was formed at $5.403 and the price recently started an upside correction.

Bitcoin is up more than 15% from lows, but EOS is struggling. It broke the $5.800 resistance level plus the 23.6% Fib retracement level of the downward move from the $7.803 high to $5.403 low. However, it faced a strong resistance near the $6.250 resistance. It even failed to stay above the $6.200 level and the 55 simple moving average (4-hours).

Moreover, there was no test of the 50% Fib retracement level of the downward move from the $7.803 high to $5.403 low. At the moment, there is a major contracting triangle forming with resistance near $6.250 on the 4-hours chart of the EOS/USD pair. If there is an upside break above $6.250, the price could start a strong upward move in the near term.

The next key resistance is near the $6.600 level, above which it could test the $7.000 resistance. Conversely, if there is a downside break below the $5.850 and $5.800 supports, the price could decline again. The main support is near the $5.400 level, below which it could slide towards the $5.200 level.

EOS Price Analysis Chart

Looking at the chart, EOS price is clearly preparing to make the next move either above $6.250 or below $5.850 in the near term. If bitcoin price continues to rise and breaks $12,000, there are chances of a fresh increase in EOS above $6.250.

Technical indicators

Hourly MACD – The MACD for EOS/USD is currently losing momentum in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI is currently just below the 50 level, with a flat structure.

Major Support Levels – $5.800 and $5.400.

Major Resistance Levels – $6.250 and $6.600.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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