- EOS price declined heavily and broke the $2.600 and $2.400 support levels against the US Dollar.
- The price is likely to face a strong selling interest near the $2.300 and $2.400 levels.
- There is a major contracting triangle forming with resistance near $2.000 on the 4-hours chart of the EOS/USD pair (data feed from Coinbase).
- There are many key supports on the downside, starting with $1.800 and $1.650.
EOS price is showing a few bearish signs below $2.500 against the US Dollar, similar to bitcoin. An upside correction towards $2.500 is likely to fail in the near term.
EOS Price Analysis
This past week, we saw a strong decline in EOS below the $3.000 support area against the US Dollar. The price many important supports near $2.500 and settled well below the 55 simple moving average (4-hours).
Finally, there was a break below the $2.000 support and the price traded to a new 2020 low at $1.446. The price is currently correcting higher and trading above the $1.800 pivot level. There was a break above the 23.6% Fib retracement level of the key drop from the $3.100 high to $1.446 low.
The price is now facing a couple of key hurdles near the $2.000 area. Moreover, there is a major contracting triangle forming with resistance near $2.000 on the 4-hours chart of the EOS/USD pair.
If there is an upside break above the triangle resistance, the price could rise towards the $2.300 resistance level and the 55 simple moving average (4-hours). The 50% Fib retracement level of the key drop from the $3.100 high to $1.446 low is also near the $2.270 level to act as a hurdle.
The next major hurdles for the bulls are near the $2.400 and $2.500 levels. A clear break above the $2.500 level is needed to start a strong rise.
Conversely, there could be a downside break below the $1.950 and $1.900 levels. The main support is near the $1.800 level, below which there is a risk of more bearish moves. The next key support is seen near the $1.500 level.
Looking at the chart, EOS price is currently trading in a crucial range below the $2.200 and $2.300 resistance levels. A clear break below the $1.800 support could set the pace for a push towards $1.500.
Technical indicators
4-hours MACD – The MACD for EOS/USD is slowly moving into the bullish zone.
4-hours RSI (Relative Strength Index) – The RSI is currently recovering towards the 50 level.
Major Support Levels – $1.800 and $1.500.
Major Resistance Levels – $2.300 and $2.500.
