Similar to what is happening to Bitcoin,the EOS price action is currently creating a bearish impetus beneath $3.21 level. Currently, the pair is testing the crucial $3.00 support. If EOS/USD pair manages to breach this support, then the price is expected to decline sharply.
EOS/USD technical analysis
Once again the EOS bulls were unable to breach the crucial $3.550 and $3.600 resistance zones. Bears pressurized the price to massively drop from a high of $3.56 past the $3.4 key support level.
In the course of the sharp price drop, EOS price action saw a break beneath a key soaring channel with support around the $3.30 on the pair’s 4-hour price chart. Moreover, EOS even breached the $3.20 support zone.
The decline past this crucial support paved way for the pair to plummet even further past the $3.0 key support. The EOS price reached a low of $2.89 before initiating a consolidation phase on top of the $3.00 level.
EOS price action regained and it is now trading above the $3.05, and the 23.6 percent Fibonacci retracement levels of the latest decline from $3.56 to $2.89 level. Regardless, the cryptocurrency is still facing resistance near the $3.10 zone. The subsequent resistance level is at $3.15 and the 4 hours 55 simple moving average.
What to expect from EOS in the near term
The key resistance zone is situated near $3.2. The EOS/USD pair needs to initiate a new upwards momentum soon to breach the $3.20 key resistance and the 4-hour 55simple moving average. Failure to that, EOS price will continue declining.
As per the chart, the EOS/USD pair is currently trading slightly above the $3.0 key support. If the bears manage to break past this crucial support, a sharp decline could be imminent.
Looking at the Technical Indicators
Key support levels: $3.00 and $2.90
Key resistance levels: $3.15 and $3.20
4- hour RSI: below 40
4-hour MACD: Bearish
More on EOS
The EOS cryptocurrency was created by Dan Larimer and Brendan Blumer, who are the top leaders of the Block.one team. This team were very successful in their marketing strategy and were able to influence many traders and investor that the coin would be very profitable right from the start. With the introduction of smart contracts into the system; the coin has been tagged as the ETH Killer although Chris Burniske has shot down the ETH killer concept.
There are various predictions about the price of EOS towards the end of the year and most of them come from financial experts who have aptly studied the market and deduced their prediction from an analysis of market trends and also technical analysis of EOS future price based on an advanced algorithm.
EOS has a high vision with its project with Dapps and will take on an important part in the financial market. The reason why this market has been able to stay among the top ten cryptocurrencies is that it tackles problems attached to various blockchain networks. It makes some high claims of being able to confirm over 100,000 transactions per second.
In the years to come, EOS as a crypto coin will earn its usability index and also be globally accepted. With its continuous hard work on decentralized blockchain platforms, it has become increasingly famous amongst developers. This makes them interested in checking out additional platforms that are running within this technology.