Eigen Cloud (EIGEN) has bottomed out, and the price seems to be picking up fast. The price appreciation coincides with EIGEN approaching a golden cross. Meanwhile, an analyst expects the price to appreciate by 2x to 3x in the next 45 to 60 days.
Eigen is showing signs of forming a rounded bottom (curved bottom) pattern, a structure that often signals the end of a prolonged downtrend and the gradual return of buyers. Unlike sharp V-shaped reversals, a rounded bottom reflects a slow shift in market sentiment as selling pressure fades and accumulation increases.
As the recovery progresses, the price typically begins to print higher lows and higher highs, indicating that bulls are steadily regaining control. Trading volume also tends to increase during the breakout phase, confirming stronger buying interest and improving the chances of a sustained rally.
If Eigen successfully breaks above the neckline or the key resistance level of the rounded bottom pattern, it could trigger fresh momentum buying and attract sidelined investors. Such a breakout often marks the beginning of a new uptrend, with the previous resistance potentially turning into a strong support level on any pullback.
However, if the token fails to clear resistance, the recovery could stall, leading to a period of consolidation before another breakout attempt. A confirmed breakout accompanied by rising volume would provide the strongest technical signal that Eigen’s trend has shifted from bearish to bullish.
A golden cross occurs when the 50-day moving average crosses above the 200-day moving average. It is one of the strongest long-term bullish signals in technical analysis because it indicates that short-term price momentum has become stronger than the long-term trend. Historically, golden crosses often appear during the early stages of sustained uptrends as institutional buying and market confidence increase.
With Eigen already forming a rounded bottom and recovering from its recent lows, an approaching golden cross would further strengthen the bullish outlook. If buyers continue to push the price higher, the crossover could attract additional momentum traders and algorithmic investors who view the pattern as confirmation of a trend reversal.
This increase in buying pressure could help Eigen break above its key resistance level, turning it into support and paving the way for a stronger upward move. A breakout supported by rising trading volume would provide further confirmation that the recovery has transitioned into a sustained bullish trend rather than a temporary relief rally. Analyst expect the price to surge by 2X-3X.
