Can EOS Token Break Out of the Horizontal Trade Range?

The current price movement of EOS is very encouraging for long-term investors, but the crypto market as a whole is observing an outflow due to macroeconomic factors. Moreover, many governments across the world have been trying to regulate the crypto economy because it can be dangerous for traditional economies.

EOS is the native token of the EOSIO network, which is a decentralized operating system for developers. It allows the building and scale of decentralized applications with advanced tools and services. It raised a $4 billion investment in 2018 with the largest crowdfunding event in the history of cryptocurrency.

After that, it became one of the popular cryptocurrencies and is still relevant these days. During the crowdfunding, it reached an all-time high of $22.89; now, it is trading at around $1.32. Though it is a huge fall from its peak, it will recover in the next few years.

There is too much uncertainty surrounding the recession fears and inflation. EOSIO is a low-cost decentralized transaction platform that is extremely fast and highly configurable. It offers more scalability and high bandwidth, which makes it the most user-friendly alternative in the crypto world.

There are more changes coming in the crypto industry; you must add EOS to your watchlist and keep track of this currency for long-term investment. Read our EOS price prediction; if you are interested in long-term investment. 

While writing, EOS was trading at $1.32. However, you can find strong support around $1.28 and resistance around $1.5 and $1.8. On the daily chart, candlesticks are forming in the lower range of the Bollinger Bands, indicating bearishness. The RSI and MACD also reflect bearishness. We think it is not the ideal time to invest for the short term.

After taking support around $0.9, EOS has been in an uptrend on the weekly chart, but it has changed the momentum from the level of $1.8. Now EOS is trading around the baseline of the Bollinger Bands after forming a bearish engulfing candle in the last week.

We think EOS will follow the uptrend, but if it breaks the support off $1.2, it will be long-term bearish. However, most technical indicators are still bullish on the weekly chart.