- EOS price is surging higher and it broke the $5.000 resistance level against the US Dollar.
- The price traded to a new 2020 high at $5.517 and it is currently consolidating gains.
- There is a major bullish trend line forming with support near $5.100 on the 4-hours chart of the EOS/USD pair (data feed from Coinbase).
- The pair is likely to continue higher towards the $6.000 and $6.500 resistance levels.
EOS price is gaining bullish momentum above the $5.000 resistance against the US Dollar, similar to bitcoin. There are high chances of more upsides towards $6.000 or even $7.000 in the near term.
EOS Price Analysis
After forming a support base above $4.000, EOS started a strong upward move against the US Dollar. The bulls were able to clear the $4.500 resistance area and the 55 simple moving average (4-hours).
The upward move was such that the price even surged above the $5.000 barrier. Finally, the price traded above $5.000 and a new 2020 high is formed near the $5.517 level.
The price is now consolidating gains above the $5.400 level. An initial support is near the $5.350 level. It coincides with the 23.6% Fib retracement level of the upward move from the $4.729 low to $5.517 high.
More importantly, there is a major bullish trend line forming with support near $5.100 on the 4-hours chart of the EOS/USD pair. The trend line coincides with the 50% Fib retracement level of the upward move from the $4.729 low to $5.517 high.
Therefore, EOS price remains well supported if it dips towards $5.350 and $5.100. Any further losses could lead the price towards the $5.000 support area.
On the upside, an initial hurdle is seen near the $5.500 area. A convincing rally above the $5.500 resistance could set the pace for a move towards the $6.000 resistance area. Any further gains could lead the price towards the $7.000 resistance area in the coming days. An intermediate resistance is near the $6.800 level.
Looking at the chart, EOS price is currently trading nicely above the $5.400 level. It could correct a few points, but the overall price action suggests more gains above the $5.500 and $5.750 levels in the near term. Conversely, a close below $5.100 might spark a major downside correction.
Technical indicators
4-hours MACD – The MACD for EOS/USD is now gaining momentum in the bullish zone.
4-hours RSI (Relative Strength Index) – The RSI is now well above the 60 level.
Major Support Levels – $5.350 and $5.100.
Major Resistance Levels – $5.500 and $6.000.