EOS: This crossover could fruition into a bullish narrative
Disclaimer: The findings of the following analysis are the sole opinions of the writer and should not be considered investment advice.
EOS’s descent below the $3.6-mark gave the sellers enough thrust to cause a breakdown below $1. The alt has struggled to find a position above the near-term EMAs until recently.
During this phase, EOS witnessed two rectangles whilst finding fresher lows on its chart. The recent bullish break above the EMAs could help the buyers continue their spree in the coming sessions. At press time, EOS traded at $1.23, up by 7.7% in the last 24 hours.
Source: TradingView, EOS/USDT
The 20 EMA (red) subdued the buying efforts for nearly three months. As the selling pressure started to mount, EOS saw a mid-June rectangle bottom breakdown that reignited the bearish inclinations.
With the Point of Control (POC, red) being in the $0.92-zone, the alt halted the selling phase and transposed into low volatility in the last month. Also, the 20 EMA finally refused to look south. Any bullish crossover on the near-term EMAs would reaffirm the near-term recovery chances.
The price action could reverse from the $1.2 level in the coming sessions. But a revival above its EMAs can help buyers sustain their edge. In this case, potential rebounds can look to test the $1.4-region before a plausible fallout. Any bullish invalidations could see a somewhat sluggish phase above the POC.
Source: TradingView, EOS/USDT
The Relative Strength Index (RSI) saw a solid recovery as it approached the overbought region. Any reversals from this level can cause a short-term hindrance to the buying efforts.
The CMFs exhibited a strong buying preference in the daily timeframe. But its recent lower peaks have bearishly diverged with the price. So a
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