EOS received quite a bit of hype after its release during the peak cryptocurrency enthusiasm in 2018. Hype even led EOS to hit all-time highs within a short time interval more than once. It raised a whopping $4 billion of investment through its ICO that lasted for more than a year. EOS now stands at the 50th rank in terms of market capitalization with a net value crossing a little over USD 1.94 billion with more than 90% of its tokens already in circulation. The reason for its rise might have turned into the reason behind the demise of buyer sentiment over the extended period of the last three years.
Entire investment and ideation were supported by Block.com since the beginning of EOS’s inception. Despite calling itself a decentralized blockchain ecosystem or what a blockchain is meant to perform as EOS has lost its ground. Overt control of block.com on projects of EOS has led many to believe this blockchain to be a centralized version. Despite EOS using state of, art delegated Proof of stake protocol that addressed the shortcomings of both, Proof of Work and Proof of Stake; it has failed to perform as expected.
Prices are falling as if they are under the influence of gravity. There hasn’t even been a single month of retracement trades or bounce backs since the profit booking sentiment originated in September of 2021. So, it confirms that 200 DMA has been a massive indicator of the impending price action we are witnessing on EOS.
Retracement or bounce back can be ruled out in the coming months, with the current outlook being strictly negative. MACD indicator indicates a narrow trading range that would be suppressed under 80% of the movement in either direction. As the historical support line meets the trend line, there lies a small scope of bounce back. A buying trend is much needed for EOS to regain its popularity amongst buyers and new crypto enthusiasts.