EOS Price Analysis: EOS/USD breaks free from the range; $5.00 on radars

• EOS has been growing strongly since the beginning of the year amid improved sentiments on the market.
• The recent development implies that the coin may extend the upside momentum towards $5.00.

EOS, now the 8th largest digital asset with the current market value of $4.2 billion, has gained over 8% in recent 24 hours to trade at $4.57 by press time. The coin has been doing well recently, inspired by the general recovery on the global cryptocurrency market. EOS/USD has grown by nearly 80% since the beginning of the year, benefitting from the bullish sentiments.

EOS/USD: technical picture remains bullish

A strong move above the upper boundary of the recent consolidation channel at $4.35 helped create a strong bullish momentum and push the price towards $4.63. While the upside impulse is fading out, the technical picture remains bullish as long as it stays above the said broken channel resistance. 

On the upside, the next barrier is created by psychological $5.00.  Last time EOS/USD traded that high in November 2019. A sustainable move above this area will bring SMA100 weekly at $5.42 back in focus. COnsidering an upward-looking RSI on a daily chart, bullish scenario looks likely.

On the downside, a move below $4.35 will bring the coin back inside the channel with the lower border at $4.00. After a short period of consolidation the coin may resume the downside and break below the channel support with the next bearish target at $3.30. This technical barrier is created by a confluence of strong technical levels, including SMA50, SMA200 daily and the lower line of the daily Bollinger Band. 

Most likely this support area will slow down the sell-off and serve as a jumping off ground for another bullish wave. 

EOS/USD daily chart

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