EOS Token (EOS) Breaks Above Dynamic Resistance Levels But Lacks Momentum and Volume

EOS token has 6.253 Million holding addresses, and the top 10 holders of the token have 79.79% of the supply.

EOS token has shown signs of recovery over the last few days, as the token broke out from a strong technical pattern. The token price has surged 5.2% in the last 24 hours and is trading at $0.487. Despite breaking out from a crucial level, the token price lacks momentum and volume.

The breakout from the technical pattern may be fake, and the token price could resume its downtrend.

EOS Token Price Analysis

EOS token’s price broke out from a falling wedge pattern on the daily chart, which is considered a bullish technical pattern. The breakout from the pattern occurred on the 23rd of May 2024, as the token price surged above the $0.44 resistance.

Following the breakout from the pattern, the token price showed a lack of momentum and volume, which is crucial for any breakout. The breakout from the falling wedge pattern should have high momentum and volume for the breakout to be considered valid.

A lack of momentum and volume in the breakout could lead to a fake breakout in the token price, which may lead to the token price falling back into the falling wedge pattern. If the token price falls back into the pattern, it could resume its downtrend.

The breakout from the falling wedge pattern should be followed by a strong bullish momentum and volume for the breakout to be considered valid. A lack of momentum and volume in the breakout could lead to a fake breakout in the token price.

EOS Token On-Chain Analysis

The token’s derivatives market has shown no significant activity despite the token breaking out from crucial levels. An increase of 17% was recorded in the derivatives traded volume, which amounted to $167.90 Million. On the other hand, the open interest declined by 3.9% to reach $69.99 Million.

The longs liquidated for the token in the last 24 hours amounted to $324.77K, while the liquidated shorts amounted to $49.44K, reflecting the dominance of bears on the chart.

A crucial observation on the derivatives liquidated chart is that the longs are being liquidated heavily, which is putting pressure on the token price. The bears are trying to push the token price down with the longs liquidation, which could lead to a downtrend in the token price.

EOS Token Technical Analysis

EOS token’s price has shown a lack of momentum and volume despite breaking out from crucial resistance levels. The token price broke out from a falling wedge pattern on the daily chart, which is considered a bullish technical pattern.

The breakout from the pattern occurred on the 23rd of May 2024, as the token price surged above the $0.44 resistance. Following the breakout from the pattern, the token price showed a lack of momentum and volume, which is crucial for any breakout.

A lack of momentum and volume in the breakout could lead to a fake breakout in the token price, which may lead to the token price falling back into the falling wedge pattern. If the token price falls back into the pattern, it could resume its downtrend.

The breakout from the falling wedge pattern should be followed by a strong bullish momentum and volume for the breakout to be considered valid. A lack of momentum and volume in the breakout could lead to a fake breakout in the token price.

The token’s technical indicators, like the death cross on EMAs and uncertain MACD, suggest bearish tendencies despite some bullish signs. The support levels for the EOS token price are $0.200 and $0.440, followed by the resistance of $0.710 and $0.960.

This article is for informational purposes only and does not provide any financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading

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