- EOS is caught in a near term downtrend
- EOS suffers low platform usage but stable transaction volume
- EOS set to skyrocket despite poor fundamentals
EOS News Today – Like other top altcoins, EOS (EOS) is presently caught in a near term downward trend that was ignited by the recent rejection of BTC at the $8,400 mark. Nevertheless, it is still in a strong uptrend while looking at its 30-day price action. Technical analysis is also suggesting that the digital currency is geared up for considerably further bullishness.
One factor that could ignite a near-term bullishness is the fact that the active users on the blockchain of EOS have dropped enormously over the past couple of months, even though the transaction volume on the network has been able to amass some steady growth.
EOS Suffers Low Platform Usage but Stable Transaction Volume
EOS is one of the major rivals of Ethereum. The blockchain project was even called “Ethereum Killer.” EOS was launched with the aim of providing a decentralized blockchain platform that offers scalability to startups and projects that want to build on the network. Nevertheless, the ongoing Crypto Winter has dried up the DApp markets. Only a very few projects are still active in the space.
EOS Price Today – EOS / USD
This is symbolic while looking at the user data of EOS, which has dropped enormously over the past couple of months. The user base of the network has plunged from about 110,000 users in October last year, to slightly over 10,000 users at press time. This was revealed in data from DApp Review.
Interestingly, it is also worth noting that the transaction volume on the network has been surging higher over the same period of time, showing what seems to be an inverse correlation with usership.
EOS Price May Skyrocket soon despite Lack of Active Users
Fundamentals such as the lack of active users on the network may have a negative effect on the digital currency in the long run. However, in the short-term, it seems that only technical factors are driving all price action, which is a good thing for the digital currency. A popular digital currency analyst on Twitter – Scott Melker – recently said in a tweet that EOS is one of the only top digital currencies that presently seems to be showing notable bullishness due to breaking its downtrend. In his tweet, he said:
“EOS: That said, $EOS has actually broken its downtrend and is currently retesting the channel as support. This looks bullish AF if BTC does happen to rise.”
If the digital currency could catch some momentum here regardless of the aggregated digital currency market, it could surge to become one of the best-performing coins this year.
Princess Ogono is a writer, lawyer and fitness enthusiast. She believes cryptocurrencies are the future. When she's not writing, she spends time with her adorable cat, Ginger and works out often.