- EOS price rallied recently and broke the $3.05 and $3.50 resistance levels against the US Dollar.
- The price even spiked above the $4.00 resistance and it is currently consolidating gains.
- There is a short term breakout pattern forming with support at $3.80 on the hourly chart of the EOS/USD pair (data feed from Bitfinex).
- The pair could dip a few points, but buyers are likely to protect the $3.80 and $3.60 support levels.
EOS price surged above key resistances such as $3.50 and $3.70 against the US Dollar. The current price action is positive, suggesting more gains above $4.00 in the coming sessions.
EOS Price Analysis
This week, there was a solid bullish wave in bitcoin, Ethereum and EOS price against the US Dollar. The EOS/USD pair formed a strong support base near the $2.75 level. Later, it gained strength and broke the $3.00 and $3.05 resistance levels to start a rally. Buyers gained strength above $3.25 and the 55 simple moving average (4-hours). It opened the doors for more gains and the price surged above the $3.50 and $3.70 resistance levels. A swing high was formed near $3.90 and later the price consolidated gains.
Finally, there was a break upside break above the $2.85 and $2.90 resistances. The price even broke a contracting triangle with resistance at $3.65 on the on the hourly chart. The upward move was such that the price spiked above the $4.00 resistance. A new monthly high was formed at $4.02 and the price is currently correcting lower. It declined below the 23.6% Fib retracement level of the last wave from the $3.55 low to $4.02 high. More importantly, there is a short term breakout pattern forming with support at $3.80 on the same chart of the EOS/USD pair.
Below the triangle, the 50% Fib retracement level of the last wave from the $3.55 low to $4.02 high is near $3.79. Therefore, if the pair continues to move down, it could find support near $3.80. If there are more declines, the price could revisit the $2.60 support area.
Looking at the chart, EOS price is placed nicely in an uptrend above the $3.60 and $3.80 support levels. It seems like buyers could push the price above the $4.00 resistance in the near term. Once they succeed, the next stop for them may be $4.20 or $4.25. On the downside, the main support is at $3.60 and $3.55.
Hourly MACD – The MACD for EOS/USD is placed nicely in the bullish zone, with positive signs.
Hourly RSI (Relative Strength Index) – The RSI is currently correcting lower from the overbought zone.
Major Support Levels – $3.80 and $3.60.
Major Resistance Levels – $3.90 and $4.00.
Check out the original article here.
Author: Aayush Jindal