Disclaimer: The findings of the following analysis are the sole opinions of the writer and should not be taken as investment advice
On the back of a major correction phase seen by the cryptocurrency market, EOS has been acquiring a level of stability on the price charts lately. At the time of writing, EOS was valued at $3.74 with a market capitalization of $$3.55 billion, with the altcoin ranked all the way down at 24th on CoinMarketCap’s charts.
In light of the general market trend at press time, EOS was likely to continue trading within the same price range in the near-term.
EOS 4-hour chart
Source: EOSUSD on TradingView
EOS’s six-hour chart indicated that after dropping under $3.57, the price bounced higher, with the alt moving between $3.57 and $4.10 on the charts.
With the value of the digital asset continuing to bounce within this tight range, EOS also saw some slight bullishness emerge. However, the crypto’s indicators noted that there was not enough momentum for a significant price swing.
Reasoning
The Bollinger Bands were indicative of the volatility in the market. At the time of writing, the Bands had converged within the consolidating price range. This suggested that the price was not moving wildly, but was moving within a short-range. Meanwhile, the Signal line slid above the candlesticks, highlighting that bearishness may take over the market.
However, the 50 moving average remained under the candlesticks and has been acting as strong support for EOS. Despite the bullishness or bearishness in the market, a price swing cannot take place due to a lack of momentum. Finally, the Awesome Oscillator underlined that EOS had no momentum to carry out any trend change.
On the contrary, the Relative Strength Index remained in the equilibrium zone, meaning that the buying and selling pressures had equalized.
Conclusion
The EOS market, at press time, appeared to be in a consolidating phase as the price remained restricted within the aforementioned range. As the market moves ahead, consolidation may continue due to a lack of momentum in any specific direction.
