EOS (EOS) is back on fire days before its mainnet launch, which is expected to go into effect on June 1, 2018. This would allow EOS (EOS) to leave the Ethereum blockchain for its own blockchain EOSIO. The platform will allow developers to build Dapps on the blockchain as soon as the mainnet is launched. The EOSIO platform will use DPoS (Delegated Proof of Stake) and will be initially helped by Block.one, a prominent blockchain software company. EOS (EOS) is currently asking investors to register their new address on the EOSIO platform so that they can be assigned new token soon as the mainnet goes live. It is important to register addresses now because once the mainnet is launched; ERC20 tokens for EOS (EOS) will become useless soon afterwards.
EOS (EOS) lost nearly 50% of its previously made gains this month. This was mainly due to an overall bearish market which pulled the price down despite extremely positive news and prospects ahead. Initially, the price retraced down to the 0.382 Fibonacci level and was all set to continue upwards but a falling Bitcoin (BTC) pulled it down to $10.5 all the way from $23.12. EOS (EOS) is the only top 10 coin to have surpassed its all time high after the correction. Investor interest in EOS (EOS) is rising by the day and institutions are also eager to get involved.
The price has currently found a strong support at the 0.618 Fibonacci level and is trading above $12. With hints of a market reversal, EOS (EOS) looks strong to reach at least $50 by the end of the year. The price is currently trading in a well established bullish channel and is set to break out of the falling wedge. This could resume its bullish impetus and the price could cross previously made highs, most likely before the mainnet launch on June 1, 2018. The RSI is near the bottom and looks set for beginning a new rally. There is limited room for downside as EOS (EOS) continues trading down the wedge but the big picture looks very bullish.
Mainnet launches often have a significant impact on the prices of cryptocurrencies. Independence from the Ethereum network gives it the flexibility it long needed to devise its own scaling solution so that Dapps can be built on the platform. There is a lot of hype regarding smart contracts and Dapps but to be honest, no platform has a proper working model yet. Our recent experience with Crypto Kitties exposed some serious flaws in the Ethereum network. However, EOS (EOS) seems confident to have addressed that issue which is why it is proceeding with its own mainnet. It will currently comprise of 21 block producers who will be in charge of validating every block. Having such a limited number of nodes means that a lot more transactions can be processed per second as the confirmation time is reduced. The upcoming mainnet launch could make EOS (EOS) a real Ethereum (ETH) competitor which will translate into institutional interest and hence future price gains.