- EOS price has been in a strong bullish trend in the past few weeks.
- The developers will launch the EVM mainnet beta on Friday.
EOS price has done well in the past few days as investors wait for the upcoming launch of its Ethereum Virtual Machine (EVM) version. The coin’s price jumped to a high of $1.2738, the highest level since March 4 of this year. In all, the coin has jumped by over 30% from the lowest level in March.
EOS EVM is around the corner
There are three main reasons why EOS has jumped sharply in the past few weeks. First, as I wrote here, EOS announced that it will launch its EVM soon. An EVM is the computation engine for Ethereum’s network. In simple terms, it is the software that enables smart contracts functionality in Ethereum. As such, it enables interoperability in the ecosystem.
In a statement, the developers said that the EVM was around the corner after they launched the final testnet before the beta. The mainnet beta will be launched on Friday of this week.
As part of this rollout, the developers updated the tokenomics of the platform. Some of the top aspects of EVM tokenomics are that it will have increased utility through the use of EOS as the native token.
Further, there will be a trustless bridge that will allow EOS to be seamlessly transferred from EOS native to EOS EVM. Also, there is an upcoming burn mechanism that will burn all profits collected from running the RPC endpoints.
Read more: How to buy EOS.
Second, like other cryptocurrencies, EOS price has jumped because of the strong performance of Bitcoin and their cryptocurrencies. BTC price has held quite well above $30,000 while Ethereum moved above the resistance point at $2,0000 on Thursday. In most periods, these coins tends to have a close correlation with each other.
Finally, this rally is also because of the view among traders that the Federal Reserve will start going slow on rate hikes after its minutes warned of a recession. Data published also showed that the country’s inflation was falling.
EOS price prediction
The 4H chart shows that the EOS price has been in a strong bullish trend in the past few days. It managed to move above the important resistance level at $1.2532, the highest point this month. The coin has also moved above the 25-day and 50-day moving averages.
Therefore, EOS will likely continue rising as buyers target the important resistance at $1.3414, the highest point in March. This price is about 7% above the current level.
