- EOS price declined towards the $2.400 support level before recovering against the US Dollar.
- The price is trading above $2.500, but it is facing a major hurdle near $2.600.
- There is a key bearish trend line forming with resistance near $2.620 on the 4-hours chart of the EOS/USD pair (data feed from Coinbase).
- The pair could struggle to clear the $2.600 and $2.620 resistance levels in the coming sessions.
EOS price is holding the $2.400 support zone against the US Dollar, while bitcoin is rising. It seems like the bulls are likely to face an uphill task near the $2.600 resistance area.
EOS Price Analysis
EOS price followed a bearish path from the $2.850 resistance zone against the US Dollar. It broke many key supports near the $2.650 level to move into a bearish zone.
The price traded close to the $2.400 support level and settled below the 55 simple moving average (4-hours). A new weekly low is formed near $2.422 and the price recently started a decent upside correction.
It surpassed the 23.6% Fib retracement level of the recent slide from the $2.868 high to $2.422 low. On the upside, an initial resistance or a key hurdle is near the $2.600 level and the 55 simple moving average (4-hours).
There is also a key bearish trend line forming with resistance near $2.620 on the 4-hours chart of the EOS/USD pair. The trend line is close to the 50% Fib retracement level of the recent slide from the $2.868 high to $2.422 low.
Therefore, EOS price must clear the $2.600 and $2.620 resistance levels to continue higher. In the mentioned case, the bulls are likely to aim a test of the $2.850 resistance. The next major downtrend resistance is clearly seen near the $3.000 level.
Conversely, there is a risk of another drop if there is no upside break above the $2.600 resistance. An initial support is near the $2.450 level. The main support zone is near $2.400, below which the price might dive towards the $2.225 and $2.200 support levels.
Looking at the chart, EOS price is clearly facing an uphill task near the $2.600 region. It could either start a major increase above $2.600 or resume its decline towards the $2.200 support zone in the near term.
Technical indicators
4-hours MACD – The MACD for EOS/USD is currently moving slowly in the bullish zone.
4-hours RSI (Relative Strength Index) – The RSI is just below the 50 level.
Major Support Levels – $2.400 and $2.200.
Major Resistance Levels – $2.600 and $2.850.
