- EOS plunges on breaking contracting triangle support at $5.00 but finds balance above $4.20.
- EOS must break out of the range entrapment to forge ahead towards $5.00 critical resistance.
The bear pressure hostility has been wild and untamable in the month of August. After EOS broke the contracting triangle support at $5.00 (explored in yesterday’s analysis), the price broke down further and was not relenting as it passed through various through various support areas at $4.80, $4.60 and $4.4. The Bollinger bands show that the volatility was extremely high.
EOS seems to have found a support above $4.20. Although the price has staged several attempts to recover from the pits, EOS/USD has remained range bound with the upper limit being the 23.6% Fib retracement level with the last swing high of $5.26 and a low of $4.13 close to $4.40, and the lower limit at $4.26.
Price volatility has reduced according to the Bollinger bands on the half-hourly chart. The stochastic is entering the oversold regions to show that sellers are still seeking entries. On the upside, if EOS/USD escaped the above range limit, the 50-day moving average will limit the gains at $4.47. While the broken support at the 38.2% Fib level around $4.60 will offer still resistance to the uptrend.
EOS/USD 30-minutes chart
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