Eidoo VS Bitcoin – Uptrend: The Beginning

Eidoo has formed a strong bottom at 1000 satoshis area, which is a strong psychological support. Price managed to go below, producing spikes lower and reaching 964 satoshis, although daily close failed to get below 1k satoshis.

While forming the support, RSI has produced a Bullish divergence, suggesting the potential trend reversal. The new Fibonacci Time Zone cycle has started and price jumped, breaking above the descending channel and the 50 Moving Average on a Daily chart.

The volume has increased substantially, support rejected, bullish divergence formed and EDO/BTC broke above the channel and MA resistance. All these facts is a strong indication that EDO should continue moving upwards, at least towards the strong resistance at 2680 satoshis. The resistance is confirmed by two Fibonacci retracement levels, one of which  is 78.6% level. Break and close above the 2680 upside target could trigger much stronger growth, while if rejected, strong correction down is likely to follow.

At this stage downside risk is getting very low, but still exists. EDO might get back to 1k satoshis level prior to the rise, but only break and close below the previously established low would invalidate bullish scenario.



Please enter your comment!
Please enter your name here