Crypto Analysis

EOS Price Analysis: Can EOS Move Back to Top 5?

EOS Price Analysis

EOS price jumped higher this past week above $8.00 against the US Dollar. EOS/USD is currently correcting lower and it remains supported above $7.80.

Key Talking Points

  • EOS price surged higher and broke an important resistance near $7.50 (Data feed of Kraken) against the US Dollar.
  • There is a short-term bearish trend line forming with resistance at $8.60 on the hourly chart of the EOS/USD pair.
  • The pair remains well supported on the downside around the $7.80 level.

EOS Price Forecast

This past week, there were solid gains in EOS as its price moved above the $8.00 and $9.00 levels. More importantly, the cryptocurrency surpassed Litecoin and moved to the fifth position in the market cap.

The price topped around the $9.86 level and started a downside correction. It declined below the $9.00 level and settled below the 100 hourly simple moving average. There was also a break below the 38.2% Fib retracement level of the last wave from the $5.89 low to $9.86 high.

EOS Price Analysis

The chart above suggests a decline in the price, and the market cap dropped and it moved back to the 6th position. It tested a major support area near the $7.80 level and found buyers. The 50% Fib retracement level of the last wave from the $5.89 low to $9.86 high also acted as a strong support.

The price is currently recovering, but it is struggling to move above the $8.60 level and the 100 hourly SMA. Additionally, there is a short-term bearish trend line forming with resistance at $8.60 on the hourly chart of the EOS/USD pair.

A break and close above the trend line resistance at $8.60 is needed for the price to resume its upside. Above the $8.60 level, the price could attempt to test the $10.00 handle in the near term.

On the downside, the $7.80 level holds a lot of importance. EOS price must hold the stated $7.80 support to avoid further declines. Below $7.80, the price could retest the $7.00 handle.

Trade safe traders and do not overtrade!

*The market data is provided by TradingView.

Aayush Jindal
About author

Aayush has spent over a DECADE 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, commodities, Bitcoin and Ethereum markets. He is a software engineer by profession, loves blogging and observing financial markets Reach Aayush via email: [email protected]
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