EOS Price Analysis: EOS Attempting a Reversal

On Tuesday, Dec 18, EOS is trading somewhat lower, but still looks strong after its yesterday’s rise. The crypto is trading around $2.51.

Guest Analysis by Dmitriy Gurkovskiy, Chief Analyst at RoboForex.

On H4, i.e. in the midterm, the crypto is correcting after the downtrend and convergence. Right now, EOS has formed an ascending channel and is attempting to stay above the resistance. The coin has already managed to correct to 23.6% Fibo, or $2.56, and may be now heading towards 38.2%, or $3.19. Conversely, if the support at $1.96 is hit, and then the price goes to the low at $1.55, this will mean the correction is over.

On H1, the price is breaking out the ascending channel resistance, while the Stochastic is entering the overbought territory. This may mean the market will be heading down again soon, which will be confirmed in case the support at $2.43 gets broken out, and the price stays below it. In this case, EOS is likely to go down to the support at $1.96.

The cryptocurrency market is doing much better this week than before, with the market cap rising to $115B. This is, most likely, none other than an ascending correction, but even in this case the overall outlook is positive.

According to CoinMarketCap, EOS is now on the 4^th place in the crypto rating, after Bitcoin, Ripple, and Ethereum. EOS cap is around $2.1B. Over the last 24 hours, the crypto price rose by 21%.

While the market is trying to find a support, the investors are making guesses on what is going to happen next. There are many various predictions for 2019, but the most important one is regarding the competition. For EOS, it is important whose blockchain will become the basis for the smart contact technology and whether EOS will be able to beat Ethereum and Tezos.

Some say the future of crypto trading lies in just a handful of cryptos, while others will constantly depreciate, until complete devaluation. Only those based on solid & innovative technology will survive. This is quite alright for a new market: there must be some losses in order for it overall to become stronger and more flexible.

   

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