- EOS broke down in declines after shuttering trendline support.
- EOS sustains the price above $3.0 support but the immediate upside is limited at $3.2.
EOS is taking a breather after a couple of days of constant battering. The downtrend is as a result of the rejection that took place at $3.69 (November high). The 50 SMA and the 100 SMA on the 4-hour chart failed to hold leading to declines below the trendline support.
The losses extended to levels close to $3.0 which gave way for a minor recovery movement. EOS/USD is currently flirting with the 50% Fibonacci retracement level taken between the last swing high of $3.69 to a swing low of $2.54.
The immediate upside is limited at $3.12, although more resistance is to be expected at the 50 SMA and the 100 SMA areas. The prevailing technical picture is bearish considering the RSI is stuck in the oversold region (below 30). The MACD is also holding ground in the negative territory. However, an incoming bullish cross could send EOS towards the resistance at $3.20.