EOS price gained traction and broke the $5.500 and $5.650 resistance levels against the US Dollar. EOS could continue higher, with strong gains in ETH, XRP and BTC.
Key Talking Points
- EOS price surged higher above the $5.252 and $5.500 resistance levels (Data feed of Kraken) against the US Dollar.
- There was a break above a crucial contracting triangle with resistance at $4.900 on the 4-hours chart.
- The price is about to break the $5.950 and $6.000 resistance levels, with a bullish bias.
EOS Price Analysis
In the past few sessions, there was a strong rally in EOS and other cryptocurrencies (bitcoin, Ethereum and litecoin) against the US Dollar. EOS price started a solid upward move and broke the $5.252 and $5.500 resistance levels.
The chart above indicates that EOS price formed a strong support near the $4.500 level and recently started a significant rally. It broke the $5.000 pivot level to enter a positive zone. Later, there was a break above the $5.250 resistance and the 100 simple moving average (4-hours).
Besides, there was a break above a crucial contracting triangle with resistance at $4.900 on the 4-hours chart. The pair even broke the $5.500 and $5.650 resistance levels.
It traded close to the $6.00 level and formed a swing high at $5.956. An immediate support is near the $5.750 level and the 23.6% Fib retracement level of the recent wave from the $5.199 low to $5.956 high.
The main support on the downside is near the $5.550. It also coincides with the 50% Fib retracement level of the recent wave from the $5.199 low to $5.956 high.
The current price action is positive and it seems like EOS price is likely to clear the $5.950 and $6.000 resistance levels. The next key resistance is near the $6.150 level, above which the price may test $6.250.
Overall, EOS is gaining bullish momentum along with bitcoin and Ethereum. Therefore, any dip from the current levels may be seen as a buying opportunity near $5.750 or $5.550.
The market data is provided by TradingView.
