EOS (EOS) has dominated cryptocurrency price news for the last two weeks with huge price jumps. That run has seen the crypto briefly blaze past Litecoin twice in a space of a week. That seemingly unstoppable price march towards the top had gathered speed, due to the expected eosDAC airdrop, whose snapshot was on 15th April.
The eosDAC airdrop
This could actually turn out two ways in the short-term: make or break the EOS token. If price holds and support rallies, the bullish trend could continue. If not, a drop big enough could set panic into motion, plummeting prices.
So, how did the airdrop work?
All hodlers of EOS tokens were to be airdropped the ERC-20 based eosDAC tokens. the weeks leading up to the event saw huge trading volumes of the token as investors supposedly rushed to get the minimum 100 EOS tokens needed to qualify for the automatic allocation.
The airdrop tokens will be hosted on the Ethereum blockchain, though it will eventually be moved after the launch of the EOS mainnet. At the snapshot that took place at 01:00:00 UTC, every user with a minimum of 100 EOS in their wallets received a 1:1 ratio of the 900 million tokens.
However, those that did not have the minimum amount of tokens in their wallet have until 15th May to apply for the same. Those who had their tokens on Exchanges needed to find out if the exchange supported the airdrop. If not, they had to first withdraw the tokens to their wallets to qualify.
The rush to have the free tokens had seen demand for EOS reach daily trading volumes of over $1.8 billion on April 11, 2018, and $1.7 billion the next day. This was the highest trading volumes for the token since it traded $1.06 billion on March 22, 2018. By the snapshot time, the coin had dropped to $861 million.
Today, a day later, interest seems to have waned, with the coin at $472 million and looking like it won’t hit the 1 billion mark. If it does, it could be a host of investors who came in at the low entry of $4.00 and who may be looking to cash in on the double return.
Pivotal week for EOS
As we start a pivotal week for the cryptocurrency, all eyes will be trained on how the token moves price-wise. On Monday morning it briefly went into 5th but a drop in the value of up to -3.17% saw its cap shrink to $6.44 billion, allowing Litecoin to retake 5th.
While events elsewhere may help to shape the price charts for the entire market, it’s safe to say that EOS’ future is firmly within its own control. What happens between now and the end of the week will give us a clue as to whether the momentum can be maintained.
The biggest deal for the crypto would be investors to resist the temptation to dump their tokens onto the market. It has been speculated that that could actually happen, plunging the value to figures around the $5.00 mark within the week.
Over the week the coin leading up to the airdrop, the coin had an upsurge of +55.67%, rising from $5.87 on April 09, 2018 to close at $8.40 on April 15, 2018. The current price of $8.09 is a drop; incidentally not out of the ordinary after such a price pump. Although this is expected, the token’s value didn’t surge enough to threaten its all-time high of $18.71 reached on January 13, 2018.
The technical aspects of the token indicate there is likely to be tough resistance at $8.60, with expected support at $7.80. The RSI index is 65, meaning the overbought conditions prevailing over week closing 15th are still in place. However, if the trend reverses and the token fails to get support at $7.80, it could fall to its previous high of $7.34 reached on March 22, 2018. Though this bearish trend could be short-term, it would signal the beginning of a worrying downtrend if EOS (EOS) hits $7.00.