EOS price analysis: EOS/USD shows signs of recovery; stays above $6.0

EOS is consolidating above $6.00 following the storm that swept across the market towards the end of last week. There was a correction from the resistance at $6.8 in the wake of the formidable gains from the support that had been formed at $5.2. EOS dropped below the 50 Simple Moving Average (SMA) and the 100 SMA 1-hour chart. Luckily, the bulls found bearing at $5.8 giving them the confidence to push for gains above $6.0.

Further correction to the upside had EOS touch $6.6 but failed to break above the resistance. Another reversal from the resistance explored the levels close to $6.0 support but was anchored by the ascending trendline. EOS has since corrected above the 100 SMA but the upside is capped at $6.4. Marginally above the current price, the 50 SMA is limiting gains at $6.270.

Meanwhile, EOS is grinding closer to a contracting triangle breakout. Trading above the pattern is likely to be the beginning of another surge that could even touch $7.00. The MACD is moving horizontally in the positive region to show that the bulls are slightly in control. The RSI is moving downwards after being rejected from the overbought levels. Traders can expect EOS to stay above $6.0 in the coming sessions.

EOS/USD 1-hour chart