EOS price hangs by a thread as the $4 billion ICO that failed

EOS ICO was certainly huge, raising $4.1 billion and getting featured on major publications like CNBC. Block.one funded EOS without a live product but still managed to have a lot of success. However, after its peak at $19 per token in May 2018, the digital asset simply collapsed and never managed to recover.

Most investors think that Block.one leadership was one of the problems. Just recently, on December 17, 2020, Block.one announced that is focusing on building products designed to leverage their Bitcoin as more than just a store of value, which was not taken too well by investors.

EOS price could see a major fall towards $1 if this level breaks

EOS has been trading between $4 and $2 for practically the past year. The support level formed at $2.3 is the most crucial in the long-term. This level was defended several times in the past on April, May, June, November, and December of 2020. 

EOS/USD daily chart

A breakdown below this crucial support level can quickly send EOS price down to $1 in the long-term as there is very little support on the way down. Additionally, Dan Larimer, CTO of Block.one has just recently resigned, adding more pressure to the bulls. 

However, EOS bulls could defend the $2.3 support level and push the digital asset towards the 50-SMA and the 100-SMA on the daily chart, which both coincide at $2.8.