EOS Price Analysis: EOS Stuck At Resistance After A Strong Rebound, Can Bulls Reiterate Action?

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Michael Fasogbon
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• EOS touched $2.74 after bouncing back with a 10% gain over the last 12-hours
• Against Bitcoin, EOS price rejects sharply after attempting to break-through the 3800 SAT resistance.
• If EOS fails to find a rebound level at $2.6, the bears may resume pressure inside the hourly descending channel.
• EOS bulls continue to turn weak at resistance as buying volume decreases across its trading pairs

EOS/USD: EOS Consolidating Around $2.64

Key Resistance Levels: $2.74, $2.8, $2.9

Key Support Levels: $2.6, $2.5, $2.36

http://www.tradingview.com/x/TYMqYjqn/

Earlier today, EOS traded as low as $2.35 following yesterday’s selling pressure from around $2.5 mark. This bearish action led to a significant drop in the entire market cap (to around $187 billion).

But now; the latest increase in buying volume has brought this market back above $200 billion.

EOS is now trading well around $2.68 following a notable 9% surge within the space of 3-hours. The sudden price increase triggered a slight break above the hourly descending channel, which started to form on April 7.

EOS is likely to resume uptrend if the price continues to increase above the channel. However, EOS may get trapped again inside this three-week channel.

EOS Price Analysis

From what can be seen on the hourly chart, EOS is likely to see a short-term gain to $2.8 and $2.9 if buyers increase pressure above $2.74 – the current high.

A key rebound level for this move can be located at $2.6 – where the red demand area lies.

If EOS is to be considered bearish again, it would need to roll back beneath the red demand area of $2.6, followed by $2.5. The last defence line for the bulls is $2.36, which is around the channel’s support.

EOS/BTC: EOS Price Rejects At Important Resistance

Key Resistance Levels: 39500 SAT, 42000 SAT

Key Support Levels: 35500 SAT, 34000 SAT

http://www.tradingview.com/x/mvE9jIuR/

The latest sudden increase in EOS price flipped the value of the 8th largest cryptocurrency to 38530 SAT against Bitcoin; although the price has dropped to 37500 SAT at the time of writing.

This quick rejection was due to a significant supply around the 38000 SAT – indicated red on the 4-hours chart. There’s a chance for a breakout if the current demand can outweigh the holding supply area mentioned above.

It might be difficult for the bulls, but a strong push would at least clear off this tough bearish line. EOS price is most likely to increase significantly if the bulls win. A continuously failed attempt may bring an end to this latest positive signs.

EOS Price Analysis

In case of a breakup, the potential resistance to keep in mind is 39500 SAT. The next level above this resistance lies at 42000 SAT, as indicated red in the above chart.

There’s minor support around 36000 SAT level, but the key support to look out for is the weekly low of 35500 SAT level in case of any drop. If this level fails to suppress selling pressure, then the next support to think of is 34000 SAT level – the monthly low.

As of now, EOS bulls are still stuck around 38000 SAT resistance. A mid-week reversal may occur if this four-week resistance breaks up.