- EOS price is currently under a lot of pressure and it recently broke $3.600 against the US Dollar.
- The price is consolidating above the $3.350 support, but it remains at a risk of more losses.
- There is a major bearish trend line forming with resistance near $3.600 on the 4-hours chart of the EOS/USD pair (data feed from Coinbase).
- The pair could accelerate its decline once it breaks the $3.300 support level in the near term.
EOS price is trading in a major downtrend against the US Dollar and bitcoin. The price could correct higher, but upsides are likely to be capped near $3.600 and $3.800.
EOS Price Analysis
In the past few sessions, there was a downside extension in bitcoin, Ethereum, ripple, litecoin and EOS against the US Dollar. Earlier, EOS price recovered after tagging the $3.300 support level. There was a break above the $3.500 and $3.600 resistance levels. However, the upward move was capped by the $3.800 resistance level (the previous support). Besides, there was no proper close above $3.750 and the 55 simple moving average (4-hours).
As a result, there was a fresh decline below the $3.600 support level. Moreover, the price traded close to the $3.300 support and a swing low is formed near $3.360. It is currently consolidating above the $3.350 support, but it remains at a risk of more losses. An immediate resistance is near $3.550 plus the 50% Fib retracement level of the recent decline from the $3.796 high to $3.360 low.
Moreover, there is a major bearish trend line forming with resistance near $3.600 on the 4-hours chart of the EOS/USD pair. Above the trend line, the next key resistance is near the $3.700 level and the 55 simple moving average (4-hours). It also coincides with the 76.4% Fib retracement level of the recent decline from the $3.796 high to $3.360 low.
The main resistance is near the $3.800 level (the previous support). Therefore, a successful close above the $3.800 level and the 55 SMA is needed for a strong upward move in the near term. On the downside, the key support is near the $3.350 and $3.300 levels. If there is a clear break below $3.300, the price could accelerate towards the $3.000 support.
Looking at the chart, EOS price is clearly facing a lot of hurdles near $3.600, $3.700 and $3.800. Therefore, there are high chances of more downsides below the $3.300 support.
Technical indicators
Hourly MACD – The MACD for EOS/USD is gaining pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI is currently near the 40 level, with no major recovery sign.
Major Support Levels – $3.300 and $3.000.
Major Resistance Levels – $3.600 and $3.800.
