The EOS price is again pointing higher as the 100-Day moving average signals a new run to the 2021 highs may be on the cards.
The EOS platform aims to help builders of Decentralized Apps (DApps) by making the development process as simple as possible.
Coinmarketcap says of the network:
‘it has the capacity to accommodate the demands of hundreds, if not thousands, of DApps — even if they were being used by substantial numbers of people scalability.’
EOS, the coin that powers transactions on the EOS network, currently ranks at #24 in cryptocurrency market cap listings, with a total value just shy of $6 Billion.
EOS Price Action
Just as EOS aims to simplify DApps, we can apply a relatively straightforward technical indicator to the daily price chart.
The 100-Day Moving Average has provided bullish traders with several profitable entry points in the last three months.
When the EOS price crossed the threshold at $2.810 on the 30th of January, a 98% rally followed. This took the price to $5.562 on the 13th of February.
The average, which now provided support, was again tested on the 25th of February at $3.395. The EOS price gained 30% in the next 24 hours. The same can be said on the 28th of February when the price rose 36% to $4.390 after tagging the average at $3.259
The largest bounce from the marker came on March the 24th. The market once again tested the 100-Day at the $3.45 level. On this 4th touch, the EOS price rallied to its 2020 high of $8.829, a gain of 154%.
The recent sell-off in crypto markets has seen the EOS price drop from $8.829 to, you guessed it, the 100-Day Moving Average, at $4.416. The market has since rallied 40% to $6.153.
If the average return of 79.5% on the previous four touches is anything to go by, we may well see a further extension in this current bull run.
The next resistance level is seen at the 7th of April high of $7.085. A break of this horizontal resistance puts the market on a path to the 2020 highs once again.
Don’t miss a beat! Follow us on Telegram and Twitter.
EOS Daily Chart
Follow Elliott on Twitter