EOS price analysis: EOS/USD retreats from recent high, recovery capped by $3.8
|- EOS/USD has recovered strongly during the weekend.
- The coin has retreated from a strong resistance created by $3.8.
EOS was the best-performing altcoin on September 7, as the coin has gained over 10% of its value in a single day and tested an area above $3.8, which is the highest level since mid-August. At the time of writing, EOS/USD is changing hands at $3.68, 1% higher on a day-on-day basis. Since the beginning of Monday, the coin has lost nearly 3% amid technical correction strengthened by the general sell-off in the cryptocurrency market.
EOS takes the 8th place in the global cryptocurrency rating with the current market value of $3.4 billion.
EOS/USD, the technical picture
From the intraday point of view, the initial support awaits us on approach to $3.50. SMA200 (Simple Moving Average) 4-hour located on the approach to the barrier is likely to slow down the sell-off and allow for the upside correction. However, once it is out of the way, the downside is likely to gain traction with the next focus on $3.30 (SMA50 4-hour) and psychological $3.30.
On the upside, we will need to see a sustainable move above $3.8-$3.90 area to allow for an extended recovery towards psychological barrier $4.00. This resistance zone is packed with strong technical barriers including SMA50 daily and the upper line of 1-day Bollinger Band. Also, it stopped the recent rally and has been limiting re recovery since the weekend. It means that this resistance will be a hard nut to crack for EOS bulls.
EOS/USD, 4-hour chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.