After a prolonged consolidation, EOS price is showing a significant increase. The current analysis highlights key aspects of both short-term and long-term trends to determine whether this rise signals a reversal or is just a temporary trend.
Short-term Correction: Signals from the Hourly Chart
The EOS/USD hourly chart illustrates a textbook bullish breakout. Heikin Ashi candles have shifted to solid green with minimal lower wicks, indicating strong intraday momentum. The MA Ribbon, featuring the 20, 50, 100, and 200 SMAs, demonstrates a bullish crossover. Price action has moved above the entire MA Ribbon, signifying that buyers have regained control. Although the Accumulation/Distribution Line (ADL) continues downward, potential upward movement could confirm active buying pressure.
Macro-Trend: Daily Chart
The daily EOS/USD chart reveals a shift in the broader trend. EOS price closed 6.67% higher today, surpassing both the 20-day and nearing the 50-day SMA. This increase hints at a potential mid-term trend reversal for the first time in over two months. The current resistance zone lies between the 100 and 200 SMA. Breaking through the $0.66–$0.68 range could lead to further upward movement.
Key Indicators: What Do They Show?
Key indicators reveal important signals. Heikin Ashi candles exhibit a clear trend, and the MA Ribbon shows short-term moving averages trending above long-term ones, providing a bullish signal. Although ADL is currently lagging, it does not invalidate the upward trend, which could be confirmed with increased buying pressure.
The current scenario indicates the potential start of an upward trend for EOS. Breaking key resistance zones will signal rally continuation, but a correction below $0.52 might alter the current bullish sentiment.
