EOS Price is Eerily Calm and Could Gush Higher Soon
The EOS price has been in a tight range in the past few days as investors watch the developments between EOS Foundation and Block.one. EOS is trading at $5.10, which is a few points below its week-to-date high of $5.380.
What’s happening? For starters, EOS is a blockchain project that emerged from the famous Block.one Initial Coin Offering (ICO) in 2017. This was the biggest ICO on record after it collected more than $4 billion from investors.
Today, Block.one has transitioned itself to a venture capital firm that has invested in key companies like Galaxy Digital, LimeChain, MakerOS, and SuperPlastic. The company recently announced that it will launch a crypto exchange in a bid to compete with Coinbase and Binance.
At the same time, the relationship between Block.one and EOS Foundation has worsened. As I wrote last week, the head of EOS Foundation went as far as declaring the project as a failure. This week, Block.one attempted to mend this relationship by sending $209 million worth of tokens to Helios.
There are good reasons to be skeptic about EOS. For one, while it is backed by a major firm, its usage in the industry has lagged. Indeed, looking at DappRadar shows that only a few apps have been built using its technology.
At the same time, other platforms that have raised less money like Solana and Avalanche have become household names in the industry. So, is this the end of EOS? I doubt so but the future is still uncertain.
EOS price prediction
The daily chart shows that the EOS price has been in a relatively narrow range recently. As a result, the price remains along the 25-day and 50-day moving averages. The MACD is hovering slightly above the neutral level.
A closer look shows that the price has formed a triangle pattern. Therefore, there is a likelihood that the coin will have a bullish breakout in the near term. Besides, this pattern looks similar to that of Cardano that I wrote about on Monday. If this happens, the next key resistance to watch will be at $6.50.