- EOS price failed to surpass the key $6.400 resistance area and declined recently against the US Dollar.
- The price is down more than 8% today and it recently broke the key $6.220 support area.
- There was a break below a major bullish trend line with support near $6.200 on the 4-hours chart of the EOS/USD pair (data feed from Binance).
- The pair is now trading below $6.000 and it could head towards the $5.500 support area.
EOS price is currently declining with a strong bearish momentum against the US Dollar and bitcoin. The price is likely to test the $5.500 support level before it could recover in the near term.
EOS Price Analysis
In the past few days, there were range moves in bitcoin, Ethereum, ripple, litecoin and EOS against the US Dollar, but recently there were heavy declines. Earlier, EOS price tested the $6.400 and $6.450 resistance levels on a few occasions. There were multiple rejections near the $6.400 level and recently the price started a strong downward move. The price declined heavily below the $6.220 support level and the 55 simple moving average (4-hours). Besides, the price is now trading well below the 23.6% Fib retracement level of the last wave from the $4.600 low to $6.922 high.
More importantly, there was a break below a major bullish trend line with support near $6.200 on the 4-hours chart of the EOS/USD pair. The pair is now down more than 8% today and is trading near the $5.750 support level. Besides, the pair is testing the 50% Fib retracement level of the last wave from the $4.600 low to $6.922 high. If there are more losses, the price may continue to decline towards the $5.500 and $5.480 support levels.
The 61.8% Fib retracement level of the last wave from the $4.600 low to $6.922 high at $5.480 could act as a strong support. Once the current correction is complete near $5.500 or $5.480, the price is likely to bounce back. On the upside, there is a major hurdle forming near the $6.000 and $6.200 levels. The 55 simple moving average (4-hours) is also near $6.220 to prevent upsides.
Looking at the chart, EOS price is currently under pressure, but the price might find a solid buying interest near the $5.500 level. If there are more losses, the next major support is near the $5.260 level.
Hourly MACD – The MACD for EOS/USD is currently gaining bearish momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI is currently well below the 50 level and it could continue to decline towards 30.
Major Support Levels – $5.500 and $5.260.
Major Resistance Levels – $6.000 and $6.220.
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