EOS Price Analysis: Sideways Channel And Breakdown

  • EOS is moving in a sideways channel of $2.45-$3.6 
  • EOS recently got rejected from $3.6 levels and sank 32%-33% to test $2.45
  • EOS is on its support again and may remain at the same levels for some time

EOS recently gave a triangle breakdown which resulted in a 40% upside. However the coin got rejected from the neckline of a head and shoulder pattern made in the month of March 2020. The neckline is somewhere around $3.8-3.9 levels, which pushed the coin back at the support $2.5 levels diminishing majority of the gains. The 24 hour volume and market cap are $1,203,845,901 and $2,481,484,972 respectively. 

Decoded: The Breakdown Of EOS, A Neckline Of A Year Old Head And Shoulder Pattern 

- Advertisement -

EOS made a head and shoulder pattern in the month of March 2020, which had a neckline around $3.5-$3.6. The neckline to the date acts as a strong resistance for the coin and failed three possible breakouts of the coin since March 2020. The recent failed breakout made the coin sink by 33%-34% and test supports of $2.5 levels again. 

The coin has reduced volatility as shown by contracting Bollinger Bands. The median is an immediate resistance for the coin(at $3.01 levels)

The VWAP is calculated at $$2.64 which will be another resistance for the coin. 

The RSI is in neutral territory(45 levels) but has made a curve in today’s session, showing a return of bullish momentum in the coin.

The MACD(8,21,5) has given a bullish crossover however the coin is resting at support, as a result it is advisable to not to short the coin unless it breaks this strong support of $2.5.

The ADX signal lines are at 2.4 signalling a neutral/weak trend. These are levels from where new trends are often commenced. Any fresh buying or selling will push ADX+ or ADX- upwards to verify the onset of bull or bear really. 

Conclusion –

FOr now, EOS/USD is dormant. It made a doji candle and hasn’t given any signs of direction so far. However, considering past trends, EOS/USD is likely to respect the support and continue making more attempts to break the resistance of $3.5-$3.6. 

Support:$2.45-$2.5    
Resistance: $2.89, $3.4, $3.5 and $3.6

Join The Coin Republic’s Telegram Channel for more information related to CRYPTOCURRENCY NEWS and predication.

How useful was this post?

Click on a thumb to rate it!

We are sorry that this post was not useful for you!

Let us improve this post!

Tell us how we can improve this post?

Download our App for getting faster updates at your fingertips.

Kartik Dhankanihttp://thecoinrepublic.com
Kartik Dhankani is a BAF Student based out of India and a stock market trader and Financial Analyst. He seeks to diversify his reach to different investment alternatives and analyse them using his knowledge for fundamental and technical analysis

Similar Articles

Comments

LEAVE A REPLY

Please enter your comment!
Please enter your name here

We Recommend

Top Rated Trading Platforms

Top Rated Cryptocurrency Exchange

Top Rated NFT Market

Australia's Top Rated Exchange

Top Rated Cryptocurrency Payment Service

Our Partners

cryptoheroes

RocketFuel