All major cryptocurrencies have experienced downward price action the last 7 trading sessions. Despite EOS falling -10% the last 7 days, its transaction count shouldn’t be discounted. EOS transactions have outpaced all major digital assets for a while. As a majority of digital assets lack use cases thus far, EOS has proven it still has utility even during bearish environments.
EOS Transactions Vs The Market
Many people forget how much EOS is actually being transacted. In addition to Ethereum and TRON, EOS accounts for significant market share within the DAPP ( decentralized application ) markets. In an environment where altcoins continue to follow Bitcoin price action, many investors are looking for altcoins with actual use cases. It’s been argued by many that 90%+ of the altcoin markets have little to no current use cases.
EOS is one of the few altcoins that’s showing continued use case / adoption despite the market conditions. If we take a look at transaction data from various blockchains, we will quickly see that EOS has outpaced all major digital assets in transactions since July 2017. For the sake of this report, transaction data was pulled for Bitcoin, Ethereum, XRP, EOS, Litecoin, DASH, NEO, and TRON. Since late 2017, EOS has consistently outperformed all these digital assets in terms of transactions. The chart below pulls single day transaction data for various digital assets the last 1 year. As you can see, EOS tends to be the outlier in terms of transaction volume on a given day. There's only been a couple days since July 2017 in which EOS didn't hold the top spot..
EOS is actually much more popular in China compared to the United States. As of recent, a report out of China ranked EOS as the top digital asset. This report was formulated by the China based Ministry of Industry and Information Technology. The entity ranks digital assets based on various metrics such as the basic technology and applicability behind each digital asset. EOS continues to be a favorite out of China, being selected as the top cryptocurrency multiple months in a row. During the recent report, TRON was ranked 2nd and Ethereum was ranked 3rd.
Where Is The Utility ?
The driving factor behind EOS is the decentralized application markets. According to a recent report by DappReview, EOS continues to be a popular blockchain for both Casino DAPPs and Exchange DAPPs. Casino volume dropped a bit since last year, putting Exchange DAPPs in the number one spot this year in terms of volume.
Image Source: https://dapp.review/article/251
EOS Price Still Has Room To Grow
With the continued activity on the EOS Blockchain, it’s one of the very few altcoins that you can actually justify going up in value. Total EOS DAPP transaction value has gone down a bit in 2020. As discussed in the report, this was most likely caused by the EIDOS network in 2019. For those unfamiliar, EIDOS did a massive airdrop in 2019 that completely clogged the EOS network. With this being said, there’s reason to believe the EOS network can fully restore itself and get back to 2019 metrics in terms of total transaction volume and daily active addresses.
EOS Price Technical Analysis
EOS currently trades at $2.45 and has a market capitalization of $2,259,397,999. At the time of this reporting EOS has fallen about -10% the last trading sessions and is also down -55% the last 1 year.
EOS price is flirting with key support levels @ $2.36 right now. In addition it’s also flirting with the 25 day moving average. EOS needs to maintain $2.36 levels for upside hopes. IF EOS can’t hold the $2.36 support level you could very well see EOS price testing $1.45 on the downside. In regards to the upside, $3.00 seems to be the next resistance level that EOS has in mind.
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