EOS price climbed above the key $6.85 resistance levels. EOS is likely to continue higher in the near term similar to bitcoin, ETH, XRP and litecoin.
Key Talking Points
- EOS price started a steady rise and settled above the key $6.850 resistance (Data feed of Kraken) against the US Dollar.
- There is an ascending channel forming with support near $6.750 on the 4-hours chart.
- The price could decline a few points, but the $6.850 and $6.750 supports are likely to stop losses.
EOS Price Analysis
In the past couple of days, there were strong upsides in bitcoin, EOS, Ethereum and litecoin against the US Dollar. EOS price formed a swing low near the $6.384 and recently started a steady rise above the $6.600 and $6.750 resistance levels.
The chart above indicates that EOS price even broke the main $6.850 resistance level and 100 simple moving average (4-hours). It opened the doors for more gains above the $7.000 and $7.120 levels.
The price traded to a new weekly high at $7.293 and it recently started a downside correction. There was a break below the $7.100 level and the 23.6% Fib retracement level of the recent wave from the $6.384 low to $7.293 high.
However, there are many supports on the downside near the $6.850 and $6.800 levels. Moreover, the 50% Fib retracement level of the recent wave from the $6.384 low to $7.293 high is also near the $6.850 level to act as a strong support.
Besides, there is an ascending channel forming with support near $6.750 on the 4-hours chart. Therefore, if the price corrects lower, it could find a strong buying interest near $6.850.
If there is a downside break below $6.850 and a follow through below $6.800, the price may move back in a bearish zone. On the upside, EOS price is facing a strong resistance near the $7.250 and $7.300 levels.
If there is an upside break above the $7.300 level, EOS is likely to accelerate higher towards the $7.600 and $7.850 levels in the coming sessions.
The market data is provided by TradingView.