- ATOM’s price shows strength as it bounces from a downtrend range price rallied to a high of $14 with eyes set on $17.
- ATOM could rally more as the price creates more bullish bias by breaking out of a downtrend descending triangle with eyes set on rallying higher.
- ATOM’s price remains strong on the daily timeframe above the 50 Exponential Moving Average (EMA) as the price aims for more rallies.
The price action displayed by Cosmos (ATOM) has been tremendous as the price resisted the bears rallying from a region of $12.7 to a high of $14, reclaiming a vital support area it has built in the past few weeks. The crypto market is looking increasingly welcoming as many altcoins continue producing over 50% gains. The likes of DOGE have seen some great runs recently, rallying from a low of $0.055 to a high of $0.15, with many others as Cosmos (ATOM) continues to lead the charge for more price recoveries. (Data from Binance)
Cosmos (ATOM) Price Analysis On The Weekly Chart
Cosmos (ATOM) has struggled to regain its bullish momentum in recent times; despite the uncertainty that has befallen the crypto space, the price of ATOM has enjoyed a measure of relief after showing so much strength on the weekly low, rallying from a low of $12.7 to a high of $14 and recapturing this region as it forms key support for more potential to rise higher.
The past weeks have been nothing short of a boring and difficult moment for the crypto market as this affected the price of most altcoins negatively, forcing them to lose their support zone, with others battling it to stay afloat of their price.
After its weekly close of above $13.5, ATOM’s price looked stronger as the price of ATOM geared up for more upside price moves.; the price has faced a minor rejection to break higher to a region of $17.
Weekly resistance for the price of ATOM – $17.
Weekly support for the price of ATOM – $13.5.
Price Analysis Of ATOM On The Daily (1D) Chart
In the daily timeframe, the price of ATOM continued to look strong as the price broke out of its descending triangle, with good volume rallying to a high of $14 and forming good support around $13.5 below its current value of $14.1. Still, the price of ATOM faces a little rejection; the price of ATOM needs to break and hold above $14.5 for the price to become more bullish once more.
The price of ATOM faces a resistance to break and hold above 200 EMA, which corresponds to $14.5. A break and close above this region could send the price of ATOM to a region of $17 and possibly a retest of $20 region acting as a supply zone.
Daily resistance for the ATOM price – $14.5.
Daily support for the ATOM price – $13.5.
Featured Image From Blockchain News, Charts From Tradingview
Cosmos buyers can enter at these levels as ATOM forms a bullish divergence
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion
- A bullish divergence was spotted but it could take a while to play out
- Investors would have a keen eye on the 78.6% retracement level
The Cosmos network saw a spike in development activity earlier this month, and this has been a trend for Cosmos in the past nine months. Despite the bear market, the developers were going strong, and projects such as Osmosis could be important for the chain in the long term.
Read Cosmos [ATOM]’s Price Prediction 2023-24
Despite the positive activity on the dev front, the price action was not particularly inspiring. It had a bearish outlook to it but indicators showed steady buying pressure despite the downtrend. This implied that the recovery of ATOM could be strong, should the market sentiment take a bullish shift.
Buying volume is on the rise even though ATOM declined in price
Based on the move upward from mid-June to September, a set of Fibonacci retracement levels (yellow) was plotted. It showed the 61.8% and 78.6% retracement levels to lie at $10 and $8.04 respectively.
Earlier this month, the $10 level acted as support, but the bearish momentum saw this level broken. ATOM was able to register a bounce from $8.73, another horizontal level of significance. Yet, the market structure remained bearish. The Relative Strength Index (RSI) was also beneath neutral 50 to highlight bearish momentum was present.
If ATOM has been in a pullback since September, then the 61.8% and 78.6% are logical places where longer-term buyers would enter the market. A continuation of the previous uptrend can occur if Cosmos buyers can defend the $8 region. To support this idea, the On-Balance Volume (OBV) formed a series of higher lows since October. In the same period the price made a series of lower lows. This was a bullish divergence.
However, a divergence need not imply an immediate reversal. A test of the $8 level, if it materialized, could take weeks, but would offer a good buying opportunity, with a low risk and high reward for buyers.
Social volume declines while sentiment remains negative
Santiment data showed social volume to be on decline throughout November, as the metric formed a series of lower highs. Meanwhile, the weighted sentiment was in negative territory throughout the time ATOM descended from $14 to $8.73.
Development activity soared earlier this month but at press time was in a downtrend. If we looked further back in time, the development activity has steadily risen since February 2022. This would give long-term investors some hope.
For lower timeframe traders, the funding rate went into negative territory on multiple exchanges in the past couple of days. Shorter-term price charts showed $10-$10.25 to be an important zone of resistance as well.
For higher timeframe investors, a revisit to the $8-$8.5 region could present a long-term buying opportunity. A session close beneath $8-$7.8 could indicate further losses to follow.
Cosmos (ATOM) Rallies With Over 10% Gain As Indicator Shows Not In Safe Zone
- ATOM’s price shows strength as price bounces off from a weekly low of $8.5 giving bulls some relief.
- ATOM’s price continues to look bearish as more sentiment for the market lingers, with things looking uncertain for most traders and investors.
- ATOM’s price rallies high on the daily timeframe as the price moves toward the 50 Exponential Moving Averages (EMA) price, looking less likely to break higher.
The price action displayed by Cosmos (ATOM) recently hasn’t been motivating after prices declined from a region of $27 to a weekly low of $8.5. With many looking for a major dump in Bitcoin (BTC) price, the price of Bitcoin (BTC) bounced from $15,500 as price rallied to a high of $16,500, leaving bears on the sidelines as the price of Comos (ATOM) gains some relief bounces to hold strong above key support. The price action displayed by Cosmos (ATOM) and many altcoins recently have been problematic as many altcoins battle for survival. The Domino effect of the FTX saga and other huge investors involved has left the market at a standstill as the market is yet to make a major move after previous weeks. (Data from Binance)
Cosmos (ATOM) Price Analysis On The Weekly Chart
Most crypto traders and investors have had a rough few days, with many concerned about where the market is headed after so much turbulence in the crypto space. Many altcoins have struggled to show strength, losing key support in a bid to survive.
The current market uncertainty has caused traders and investors to be hesitant to purchase altcoins, as there is no guarantee that they will rise in value any time soon.
The price of ATOM on the weekly chart has struggled despite the market uncertainty that has affected major crypto projects that have continued to build in this bear market, and more FUD (fear of uncertainty and doubt) persists. ATOM saw its price traded in a region of $17 on the weekly chart, but the price was rejected as ATOM’s price declined to a region of $8.5, bouncing off this region to trade at $9.5 with a small relief from the market.
Weekly resistance for the price of ATOM – $10.
Weekly support for the price of ATOM – $8.5.
Price Analysis Of ATOM On The Daily (1D) Chart
The price of ATOM remains considerably weak in the daily timeframe as the price trades above $8.5 support after the price was rejected from a high of $17.
ATOM’s price trades at $9.8 below its 50 and 200 EMA, acting as resistance for the price of ATOM. The price of $11.5 and $13.8 corresponds to the prices at these levels, acting as resistance.
If the price of ATOM breaks and holds above $11.5, we could see more rallies for the ATOM price to a region of $13; a break below a region of $8.5 would send the price back to a region of $5.
Daily resistance for the ATOM price – $11.5.
Daily support for the ATOM price – $8.5-$6.
Featured Image From zipmex, Charts From Tradingview
Cosmos has these expansion plans in place for 2023, but does ATOM approve
- ATOM could witness significant demand from DEXes in the future
- ATOM traders could watch out for an upcoming bullish trend
The Cosmos blockchain maintained steady development in line with its long-term goal. The latest update from Informal Systems, one of the developers on the Cosmos network, reaffirmed its commitment towards development. Furthermore, it highlighted some of the biggest upcoming developments to look forward to.
Read Cosmos’ [ATOM] price prediction 2023-2024
According to the Informal Systems announcement, the first major development will be the Interchain Security rollout. This will take place early next year, as soon as January 2023. This development will pave the way for the launch of consumer chains.
1/ At Informal, we’ve been heads down preparing for Interchain Security launch in January 2023!
Over the coming months, we will welcome the first few consumer chains to the @cosmoshub – all of which will provide valuable services to @cosmos.
Who are they? Let’s dig in! ✨✨ pic.twitter.com/ai2BpzVS0Z
— Informal Systems 🌱 (@informalinc) November 21, 2022
The consumer chains will facilitate other key launches such as Neutrol which will enable smart contract development on Cosmos. These developments are critical for the Cosmos ecosystem because they will fast-track adoption and utility.
Informal Systems also revealed that the Interchain Security launch will also come with a roll out of the Duality XYZ DEX.
It’s all about ATOM…
The consumer focus will likely trigger more demand for ATOM. We will likely see an increase in demand from the DEX side. Liquid staking will be a feature in Interchain Security. These are just some of the potential demand drivers that the Cosmos ecosystem will create in the next few months.
Cosmos has already seen an upsurge in its development activity metric. This was confirmation that the network developers have been busy working on the upcoming upgrades.
Healthy development activity is one of the metric that determines investor confidence. But, ATOM’s price action leaned towards the bearish side especially in the last two weeks. Its $8.85 press time price represented a 42% drop from its current monthly high.
ATOM hovered above the oversold zone at the time of writing. This meant it will be oversold if the drop extended below its current level. Furthermore, traders could also observe a return of bullish momentum if buyers start to trickle in.
There have been some changes at ATOM’s current price level that indicated a potential bullish pivot ahead. For example, the Binance and DYDX funding rates registered an uptick in the last 24 hours. This was a sign that demand in the derivatives market was recovering.
ATOM investors can also expect a mid-week bullish bounce if the altcoin manages to secure enough bullish volume. Especially, if we factor in its heavy discount. Despite this expectation, investors should still consider the possibility of more downside. The latest bearish conditions have seen ATOM drop below previous support levels.
National Bank Of Ukraine Unveils E-Hryvnia Concept
The central bank of Ukraine has presented to interested parties a draft concept of the nation’s future digital currency, the...
Manitoba Halts New Crypto Mining Projects Due To Expected High Energy Demand
Authorities in Manitoba are temporarily suspending the connection of new crypto mining facilities to the power grid. The Canadian province,...
UNI is ripe for buying opportunities after a bullish crossover, but…
Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s...
Compound tightens its rules to prevent Aave-like exploit, details inside
Compound DAO had voted unanimously to implement changes in the rules of the protocol This move was motivated by the...
Professional Liability Insurance for Traders
Professional liability insurance is a crucial protection for traders, allowing them to safeguard their investments and clients. In addition, without...
Data Shows There’s No Profits Left For Bitcoin Miners That Can’t Obtain Cheap Electricity, Run Efficient Mining Rigs
During the last few weeks bitcoin’s cost of production has been higher than the leading crypto asset’s spot market value...
PancakeSwap’s progress may not sit well with investors, is CAKE the culprit
CAKE planning to bring a new Syrup Pool/Farm on PancakeSwap However, days ahead might get harder as metrics and indicators...
1 Minute Review MoneyGram is one of the largest money transfer services in the world, with over 400,000 agent locations....
Where Is The Ethereum Price Headed Next After Clearing This Resistance
The Ethereum price has finally been able to break above the $1,233 resistance mark. Over the last 24 hours, the...
Telegram to build non-custodial wallets and decentralized exchanges, says CEO Pavel Durov
Telegram to build non-custodial wallets and decentralized exchanges, says CEO Pavel Durov Soumen Datta · 1 hour ago · 1...
ECB Blog Post Insists This Is ‘Bitcoin’s Last Stand,’ Officials Claim BTC Is Headed Toward ‘Irrelevance’
On Wednesday, Nov. 30, 2022, a blog post published by the European Central Bank (ECB) discusses bitcoin and the authors...
XeggeX sets industry standards for exchange transparency
Disclosure: This is a sponsored post. Readers should conduct further research prior to taking any actions. Learn more › The...
Binance Coin (BNB), Polkadot (DOT), And Bitgert (BRISE) Price Prediction This December – Investors Will Love This
Binance Coin (BNB), Polkadot (DOT), and Bitgert (BRISE) Price Prediction This December – Investors Will Love This The last month...
Coinbase Drops XRP & Other Tokens, Cites Low Activity
As the FTX saga continues, all eyes are on crypto exchanges: Coinbase, Crypto.com, Binance and the like all have hefty...
Crypto exchange Kraken to start layoffs as crypto winter persists
Kraken plans to lay off nearly 30 percent of its overall headcount because of crypto winter The company is providing...
Biggest Movers: LTC Nears 6-Month High, As Near Rebounds From Recent Lows
Litecoin has been a notable mover on Nov. 30, as the token edged closer to a recent six month high....
Kraken to layoff 1,100 people to ‘adapt to current market conditions’
Kraken to layoff 1,100 people to ‘adapt to current market conditions’ Samuel Wan · 7 hours ago · 1 min...
Bitcoin Bearish Signal: NVT Golden Cross Enters Sell Zone
On-chain data shows the Bitcoin NVT golden cross has now entered into the “sell” zone, something that could be bearish...
Runfy5 days ago
Ethereum And Avalanche Displays Yearly Declines In Prices: Could Presale Tokens Like Runfy Be A More Viable Crypto Purchase?
Bankruptcy6 days ago
Bahamas Securities Commission calls FTX CEO John Ray’s allegations inaccurate; says its actions were ‘misinterpreted’
bitcoin bonds5 days ago
El Salvador Establishes National Bitcoin Office To Manage ‘All Projects Related To The Cryptocurrency’
Oryen6 days ago
Oryen Network Presale Promises Massive Returns, Early Backers Already Over 2X – Buy Alongside Cosmos And Polkadot
2013-20154 days ago
After More Than 380 Days, Crypto Supporters Celebrate Surviving The Second-Longest Bitcoin Bear Market
Orbeon Protocol6 days ago
Unhappy Holders Sell Off TRON (TRX) And Stacks (STX), Orbeon Protocol (ORBN) Presale Sees 125% Price Increase
Orbeon Protocol6 days ago
Orbeon Protocol (ORBN) Sees 125% Surge In Presale, Filecoin (FIL) And Solana (SOL) Leave Investors Disappointed
$1 Parity3 days ago
Terra Supporters Hope To ‘Defy The Odds’ By Pumping The Now-Defunct Stablecoin USTC Back To $1 Parity