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HomeAltcoin NewsEOS Price Analysis: Down 20%, Turns Sell On Rallies

EOS Price Analysis: Down 20%, Turns Sell On Rallies

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  • EOS price failed to hold the key $5.420 support area and declined heavily against the US Dollar.
  • The price is down more than 20% and it even broke the $4.800 support area.
  • There is a major bearish trend line forming with resistance near $5.620 on the 4-hours chart of the EOS/USD pair (data feed from Binance).
  • The pair could correct higher, but the $5.000 and $5.200 levels are likely to act as hurdles.

EOS price is currently under a lot of pressure against the US Dollar and bitcoin. The price may continue to decline and it could even test the $4.000 support in the near term.

EOS Price Analysis

This week, there a strong rise in bitcoin, but Ethereum, ripple, litecoin and EOS struggled against the US Dollar. EOS price mostly traded in a range below the $6.400 and $6.200 resistance levels. Recently, there was a sharp decline in BTC/USD below the $12,000 level, igniting sharp losses in altcoins. EOS declined more than 20% and broke many supports, including $5.800, $5.500 and $5.000.

Moreover, there was a break below a crucial contracting triangle with support near $5.700 on the 4-hours chart of the EOS/USD pair. The pair tumbled below the $5.000 support and the 55 simple moving average (4-hours). It even broke the $4.500 support and traded as low as $4.316 recently. At the outset, the price is retreating from the low and it could test the $4.700 resistance.

The 23.6% Fib retracement level of the downward move from the $6.193 high to $4.316 low is also near the $4.750 level to act as a resistance. On the upside, there are many hurdles for the bulls near the $5.000 and $5.200 levels. Moreover, there is a major bearish trend line forming with resistance near $5.620 on the same chart. The 50% Fib retracement level of the downward move from the $6.193 high to $4.316 low is also near the $5.254 to act as a strong barrier for the bulls.

On the downside, an initial support is near the $4.400 level, below which there is a risk of more losses below the $4.316 low. The next support is near the $4.200 level, followed by the key $4.000 support.

EOS Price Analysis Chart

Looking at the chart, EOS price is clearly under a lot of pressure below the $5.000 pivot level. If it fails to stay above the $4.400 level, there could be heavy losses in the near term.

Technical indicators

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

Hourly RSI (Relative Strength Index) – The RSI is currently well below the 25 level, with a bearish angle.

Major Support Levels – $4.400 and $4.200.

Major Resistance Levels – $5.000 and $5.200.

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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