EOS has been trading sideways over the last 24 hours and price is currently sitting at $3.73.
Price has fallen about 56% from $8.50 since May, and following a minor rally that lasted until June, EOS has been underperforming against Bitcoin.
However, following months of downward price action, the coin is now showing signs of recovery.
EOS volume seems to be picking up pace, growing consistently over the past few weeks to reach close to $1.5 billion.
Let’s take a look at the chart.
Chart by Trading View
EOS has been trading under all its EMAs for quite some time now. Since price fell below the 200-day EMA (blue line) in July, it has suffered a major shift downwards. At its lowest point, EOS price touched $2.70 – a far cry from the highs of $8.50 in May.
However, since early September, EOS has looked to break into more positive price ranges. Surprisingly, the coin started to pick up pace and went above its 20-day EMA earlier this week.
If EOS manages to keep breaking into higher levels, such as between $3.90 and $4.30, we could see the cryptocurrency stabilising somewhere around the 20-day and 50-day EMAs. Another possibility is that we see some consolidation below and in-between these EMAs for a while before EOS either breaks upwards or returns to its summer downtrend.
It’s definitely too early to tell if this is just a false breakout or if EOS is actually building up some long-term liquidity for a serious push into higher price regions.
For now, I’ll patiently await confirmation.
Safe trades!
About EOS
The EOSIO platform was developed by private company block.one and released as open source software on June 2 2018. One billion tokens were distributed on the Ethereum blockchain by block.one. EOS is based on a white paper published in 2017, and the CEO of block.one (Brendan Blumer) announced it will be supported with over $1 billion.
The key difference between EOS and other protocols like Ethereum or Bitcoin is that the first uses a more centralised consensus mechanic called DPoS (or delegated proof-of-stake), while the latter uses PoW (proof-of-work), as this consensus mechanism promotes the most secure and decentralised systems.
EOS sacrifices decentralisation (and long-term security) to achieve higher throughputs and more scalability.
The EOS network is currently the most adopted by dApp developers and users, even though a great percentage of dApps are still gambling related. This information can be found on the Dappsradar rankings.
More EOS news and information
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