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EOS Price Analysis: Testing Significant Breakdown Support

  • EOS price is back in a negative zone below the $2.500 support against the US Dollar.
  • There is a cluster of supports on the downside near the $2.300 level.
  • There is a major declining channel forming with resistance near $2.500 on the 4-hours chart of the EOS/USD pair (data feed from Coinbase).
  • A clear break below the $2.300 support zone could spark more downsides in the near term.

EOS price is slowly moving back into a downtrend against the US Dollar, similar to bitcoin. However, if the price stays above the $2.300 support, it could attempt a decent recovery.

EOS Price Analysis

After multiple failures near the $2.800 resistance, EOS price started a fresh decrease against the US Dollar. The price broke a few important supports near $2.550 and $2.500 to enter a bearish zone.

Besides, there was a close below the $2.500 level and the 55 simple moving average (4-hours). The price extended its decline and tested a cluster of supports on the downside near the $2.300 level.

A new weekly low is formed near the $2.332 level and the price is currently correcting higher. It is trading near the $2.400 level and it broke the 23.6% Fib retracement level of the recent decline from the $2.596 high to $2.332 low.

On the upside, there is a key resistance forming near the $2.465 level. It coincides with the 50% Fib retracement level of the recent decline from the $2.596 high to $2.332 low. More importantly, there is a major declining channel forming with resistance near $2.500 on the 4-hours chart of the EOS/USD pair.

The 55 simple moving average (4-hours) is also near the $2.550 level to act as a hurdle for the bulls. Therefore, the price must surpass the $2.500 and $2.550 levels to start a fresh increase.

The next major resistance is near the $2.800 area, above which EOS price might test the $3.000 hurdle. On the downside, there is a major support forming near the $2.300 area.

If there is a clear break and close below the $2.300 support area, the bears are likely to aim a test of the $2.050 support zone in the coming sessions.

EOS Price

EOS Price

Looking at the chart, EOS price is currently trading in a bearish zone below the $2.500 and $2.550 resistance levels. However, there are chances of a decent upward move if the price stays above the $2.300 support.

Technical indicators

4-hours MACD – The MACD for EOS/USD is slowly losing pace in the bearish zone.

4-hours RSI (Relative Strength Index) – The RSI is now recovering towards the 50 level.

Major Support Levels – $2.300 and $2.050.

Major Resistance Levels – $2.500 and $2.550.

The post EOS Price Analysis: Testing Significant Breakdown Support appeared first on Live Bitcoin News.

Source: Live Bitcoin News

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