EOS is in a range bound move as the altcoin consolidates above $2.50 support. Today, the price action is characterized by small indecisive candlesticks called Doji and Spinning tops.
The candlesticks are describing that buyers and sellers are undecided about the direction of the market. In retrospect, buyers have not been able to push EOS above the $3.60 overhead resistance since August 2020.
In the same vein, the support at $2.20 has remained unbroken at the same time. This gives the impression that EOS has been ranging in a confined range. On the upside, a breakout at the $3.60 will propel the price to rally above $4 high. The bullish momentum can extend to a high of $5. The downtrend will resume if the bears break the support at $2. 20. The coin will decline to $1.80.
EOS indicator reading
The 21-day and 50-day SMAs are horizontally flat which indicates that the coin is in a range bound move. EOS is at level 47 of the Relative Strength Index period 14. It suggests that the coin is in the downtrend zone and capable of falling.
Key Supply Zones: $5, $6, $7
Key Demand zones: $3, $2, $1
What is the next direction for EOS?
EOS is range-bound in a confined range as the coin is not trending. The Fibonacci tool has indicated the downward movement of the coin before the resumption of the uptrend. On January 11 downtrend; a retraced candle body tested the 78.6% Fibonacci retracement level. It indicates that EOS will fall to level 1.272 Fibonacci extensions. That is the market will reach the low of $1.967 and reverse.
Disclaimer. This analysis and forecast are the personal opinions of the author that are not a recommendation to buy or sell cryptocurrency and should not be viewed as an endorsement by Coin Idol. Readers should do their own research before investing funds.
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