After Tron, EOS is the only coin whose losses are at least moderate-they aren’t too way off. Even after EOS sellers stepped on the gas, prices are still down 10 percent in the last week. In theory, EOS prices should be bubbling in the run up to EOSIO mainnet launch but unexpectedly, we are contend with a contrarian situation dominated by sellers. If we gauge the strength of EOS sell pressure then it is likely that they might test $7.5 on the lower end if not $10. At around these levels, we should be searching for bullish opportunities.
From the News
EOSIO proposes some interesting features for their would-be customers. Perhaps one of the most stands out promise is the almost zero transaction fees for DApp developers. Others include speed, horizontal and vertical scalability and a completely decentralized environment approved by block producers chosen by the community.
This is on top of free asynchronous communication channels through their EOSChat. Several exchanges including Huobi Pro, Binance and BitFinex are bidding to be block producers but one thing should be clear for them .There are high inclinations for these mediums or network validators to uphold objectives and virtues they are representing. These are normal EOS coin holders desirous of a platform that upholds all the qualities EOSIO and Block One laid down for them.
So, as the clock ticks down for them, EOSIO and Block One are after drilling down the benefits of blockchain for all those who care to listen. This is the reason why they have set up not only an education drive through the Virginia Tech dedicating $3 million for them to develop a curriculum, hire tutors for students. Besides, they have EOS VC. Through this Block One arm, all Venture Capitals who support startups or firms desirous of developing on the EOS platform shall receive part of the $1 billion fund.
On the liquidity front, EXMO Exchange is the latest to list EOS. In a statement, EXMO said they were busy improving the quality of service and the best way is to increase the number of trading tools for active traders.
EOS Technical Analysis
Deducing everything from the chart, bears have recovered 100 percent of week ending April 29 gains. That’s impressive. This can turn out to be a long covering before a potential recovery. On the other hand, it can mean bears are angling to make a comeback. As it is, the average volumes in the last three weeks have been around 80 million and that is less than what propelled week ending April 29 candlestick when prices moved above $20 in the process printing EOS ATHs.
Technically, I remain bullish considering this misalignment in market participation levels and volumes. Concurrently, while there are chances that buyers might jump in and help lift price action in the run up to June 2 mainnet launch, odds are prices might pose and consolidate before we see resumption of bullish trend in line with that conspicuous ATHs printing candlestick.
Like the weekly chart, prices are trickling down in the daily chart. As a matter of fact, yesterday’s prices are playing along May 22 break below $13 or May 18 lows. That’s a clear indication that bears are in charge and rising volumes can be used as clear pointers. The thing is, I expect enormous amount of buy pressure to put to an end this incessant sell pressure. As such, I expect support anywhere between $7.5 on the lower end and $10. Before then, unless otherwise, look for selling opportunities in lower time frames.
EOS images via Shutterstock.