EOS, Tezos, and BitTorrent showing signs of a major price movement

Published on by Cryptoslate | Published on

After the recent 30 percent correction that Bitcoin experienced, some altcoins are showing signs of a possible breakout while others have indicators of further decline.

Due to the significance of the correction, the Parabolic SAR, which is displayed as a series of dots on top and below the price of EOS and helps identify potential reversals points in the direction the price is moving, flipped on the 1-week chart signaling a change in the trend from bullish to bearish.

The probabilities for the current downward momentum increase since EOS has also moved below the 7-week moving average so a further drop down to the 50 or 30-week moving average, which are both sitting around $4.60, could be expected.

Now that EOS is trading around the 38.2 percent Fibonacci retracement level a move above $6.20 could signal that the ascending parallel channel on the 3-day chart will not break and this cryptocurrency could try to test the 23.6 percent Fibonacci retracement level.

Conversely, a move below the recent low of $5.55 could validate what can be seen on the 1-week chart and EOS could be heading down to test the 50 or the 61.8 percent Fibonacci retracement zone.

After falling 24 percent last week, Tezos has managed to recover the value that it lost, which could have resulted from a deal worth well over a billion dollars that the team behind it recently closed with BTG Pactual, one of the largest investment banks in South America, and Dalma Capital, a Dubai-based asset management firm.

On the way up, Tezos will have to first break above the $1.44 resistance level so that it can test the next level of resistance at $1.80 and possibly reach new yearly highs.

A candlestick opening and trading above the 38.2 percent Fibonacci retracement level could be the first indication that a breakout could soon come while a candlestick opening and trading below the 50 percent Fibonacci retracement level could signal that the bull flag will be invalidated.

The move above or below the 38.2 and 50 percent Fibonacci retracement zone could happen at any time since the Bollinger Bands on the 1-day chart have been contracting.

Even though EOS appears to have the potential to correct further down, the ascending parallel channel that has contained its price since December 2018 could hold and sustain bullish price action, similar to Tezos and BitTorrent.

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