EOS And Tezos Show Huge Signs Of A Reversal Trend

EOS and Tezos could reverse their trends since their momentum shows strong signs of exhaustion as we are about to see in the EOS news today.

After getting close to a market bottom of $2.16 in December, EOS entered a bull rally that has seen the price almost double in value. The sudden increase in demand showed that this cryptocurrency can move above its 200-day moving average and the turning level of this resistance is usually seen by a lot of traders as a further bullish indicator. However, the current price level appears to have served as a take-profit point for a lot of investors which started an 8% retracement.

Based on the TD sequential indicator, this coin could experience another decline. This technical index now presents a sell signal according to the EOS 1-day chart and this bearish formation estimates a one to four candlesticks correction, however, if the selling pressure is strong, another downtrend could start soon.

The divergence happens once the price of the asset makes a series of higher highs while the RSI is making lower lows. This pattern doesn’t always provide a strong selling point and it is a sign that both EOS and Tezos are facing an exhaustion point.

The 15-day moving average for tezos seems to have predictive price opportunities. Each time that XTZ moves below this moving average, the coin enters a bearish trend. When this cryptocurrency breaks above the significant barrier, another trend begins. Tezos is up by 34 percent since it closed above the 15-day moving average and the lagging indicator now serves as a support that prevents XTZ from a sudden drop.

The TD sequential indicator presented another selling signal on the charts and if the coin gets this validated, the crypto could take a downturn at the support formed by the 15-moving day average. This bearish formation was given in the form of a green nine candlestick which shows a correction in-game before continuing on with the bullish trend. The bearish impulse could even take Tezos down to 78 percent Fibonacci retracement level and below this level, there could be a price hurdle that can start a selling pressure which will eventually push it to the next level of support around the 61 percent.