- ATOM price has recorded a 24.52% negative return during the weekly trading session.
- Cosmos price has given a breakdown of the $8.69 crucial demand level.
- The 24-hour trading volume has increased by over 80%.
Cosmos (ATOM) primarily aims to solve complex problems the blockchain industry faces. The network offers an ecosystem to connect blockchains, which helps in slowing expensive, unscalable, and environmentally harmful proof of work (PoW) protocols.
Cosmos consists of three layers that process and update the network: communication between transactions and blockchains and agreement on the system’s current state. The network uses a proof-of-stake (PoS) consensus algorithm.
Cosmos Reflected Over 35% Negative Returns During the Monthly Session.
ATOM price had a bullish correction period in January 2024 from the $11.47 level. That month, the price recorded 13.52% negative returns and fell on the $8.69 demand level. The correction month caught crypto cruisers’ attention, which resulted in a 24.63% positive upsurge in February 2024.
Subsequently, March 2024 also got positively impacted by the previous month. The cryptocurrency reflected over 25% bullish rally and 8.27% positive returns. The price reached the $14.48 supply level and faced heavy profit bookings from the cruiser. This reflected a negative impact on the ATOM price.
There are 390.93 million ATOM tokens currently circulating in the market. The cryptocurrency has an uncapped maximum supply, which can lead to a future imbalance in value. The total diluted valuation of the network is assumed to be at $3.33 billion, similar to current market capitalization.
Price to Volume and Social Dominance Analysis
The price and social buzz of Cosmos waved parallel to each other till February 2024. Afterward, the price reflected a positive upsurge along with the trading volume. Social dominance is currently covering 0.59% of buzz in the entire crypto world. The trading volume reflects the stability of over $187 million.
Technical Analysis of the Cosmos (ATOM) Price
The current trading price slipped below the key exponential moving averages, indicating an upcoming bearish trend. The 50-day and 200-day EMAs can be dynamic resistance for the ATOM price.
Cosmos price faced strong resistance from the $14.48 level on March 7, 2024. The price gave a 49% bearish rally while breaking down the $8.69 crucial demand level. However, the price is gaining positive responses from the $7.91 Bullish POI. The price needs to close above $10.26 for a bullish trend. Or if the price closes below $7.58, the price may fall sharply to $6.48.
Moreover, the relative strength index (RSI) reflects a strong bearish momentum in the current phase, indicating sellers’ dominance. The RSI is moving at 27.36 in the oversold region.
Summary
The Cosmos price has reflected beautiful positive returns till early March 2024. Afterward, a heavy profit booking was observed in the $14.48 resistance level price. The buyers are showing their presence in the current trading session. Regarding the technicals, Cosmos price needs to close above $10.26 for a bullish trend. Or if the price closes below $7.58, the price may fall sharply to $6.48.
Technical Levels
- Resistance Levels: $10.26 and $12.94
- Support Levels: $7.58 and $6.48
Disclaimer
The views and opinions stated by the author or any people named in this article are for informational purposes only. They do not establish financial, investment, or any other advice. Investing in or trading crypto or stock comes with a risk of financial loss.