Crypto Analysis

EOS Price Turned Sell On Rallies Versus USD, BTC and ETH

EOS price broke the key $5.070 and $4.855 support levels to enter a bearish zone against the US Dollar. EOS could correct higher, but upsides are likely to remain capped versus USD, BTC and ETH.

Key Talking Points

  • EOS price broke the main $5.070 and $4.855 support levels (Data feed of Kraken) against the US Dollar.
  • There is a major bearish trend line in place with resistance near $5.050 on the 4-hours chart.
  • The price could correct higher, but it is likely to struggle near $4.855 and $5.000 in the near term.

EOS Price Analysis

This past week, there was a sharp decline in EOS and other cryptocurrencies (bitcoin, Ethereum and litecoin) against the US Dollar. EOS price broke many important supports such as $5.070, $4.855 and $4.750 to enter a bearish zone.

EOS Price Analysis Chart

The chart above indicates that EOS price broke a major bullish trend line at $5.180 to start a strong downward move. There was a proper close below the $4.855 support level and the 100 simple moving average (4-hours).

Finally, there was a break below the $4.500 support and the price traded as low as $4.289. The price is currently consolidating losses below the $4.555 resistance plus the 23.6% Fib retracement level of the last drop from the $5.387 high to $4.289 low.

On the upside, there is a strong resistance formed near the $4.855 and $5.050 levels. The 50% Fib retracement level of the last drop from the $5.387 high to $4.289 low is near $4.855 (the previous support area).

Moreover, there is a major bearish trend line in place with resistance near $5.050 on the 4-hours chart. Above the trend line, the 100 simple moving average (4-hours) is near the $5.125 level.

Therefore, EOS price is likely to face a lot of hurdles on the upside near the $4.855, $5.000, $5.050 and $5.125 levels. In the short term, there could be an upside correction, but it might be seen as a selling opportunity as long as the price is below $5.050.  On the downside, the main supports are near $4.300, $4.030 and $3.800.

The market data is provided by TradingView.

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: aayushjindal@ethereumworldnews.com
Sign up for our Newsletter