Crypto Technical Analysis

Cosmos(ATOM)/USDT Technical Analysis: 21 January 2022

Cosmos Technical Analysis

Cosmos(ATOM) had a decent start for the year 2022 as the price was very close to forming a new ATH. However, with the first market sell-off of the year, the asset plunged drastically but sustained above the strong support levels at $33. Since then the ATOM price is constantly undergoing huge price variation, showcasing its assurance to keep up the bullish momentum and not fall prey to the bearish cartel. 

While the crypto space is currently experiencing an extreme squeeze, Cosmos fights strongly, refusing to shed the gains incurred since the beginning of 2022. Despite the immense pressure from the bears, the bulls until the press time appeared successful to forecast an upward trajectory. However, the pressure does not appear to cease for a longer time and hence it would be very important for the bulls to remain active without getting exhausted.

Cosmos(ATOM)/USDT Technical Analysis at a Glance

After a kick-start beginning of the yearly trade 2022, Cosmos appears to have been relaxing a bit but maintaining the support levels. Despite the current market trend being somewhat bearish, the long-term forecast is quite bullish. And hence the asset can be looked upon as one of the thriving projects in the upcoming bull run. 

Short Term The price in the STF is heading towards immediate support and hence pointing towards a bearish trend which is expected to be short-lived
Mid-Term Yet in the mid-term, the price is attempting to halt the downtrend and hence very soon one can expect a bullish divergence but with less intensity
Long-Term No doubt the recent sell-off has trembled the asset’s bullish momentum, yet the price manifests its tendency to overcome the bears at the earliest

Cosmos(ATOM) Technical Indicators & Pivot Points

Technical Indicators

Technical Indicators Value(1Hr / 1D) Action(1Hr / 1D)
StochasticRSI(StochRSI)(14) 0.0 / 1.65 Oversold / Oversold
MACD (12, 26)  -0.088 / 2.294 Sell / Buy
Average True Value(ATR)(14) 29.09 / 4.29 High Volatile / Less Volatile
Bull-Bear Power(13) -2.85 / 1.3 Sell / Buy
Average Directional Index(ADX)(14) 35.5 / 30.13  Sell / Sell

Pivot Points

Pivot Points Short-Term Long-Term
Moving Average(MA)-50 $38.39 $31.14
Moving Average(MA)-200 $39.53 $27.48
Resistance $39.74 $44.70(ATH)
Support $35.59 $33.40

Additional Read: Daily Crypto News 21 January, 2022 

Summary

As the market turned extremely bullish, the Cosmos price appears to be extremely bullish at the moment. The Stochastic RSI has dipped down below the oversold levels and hence signals a short-term bounce in both short-term and long-term. However, the MACD is showcasing extreme mounted selling pressure in STF & HTF which may not ease out soon. The bears appear to be pretty strong currently but in the longer term, the bulls maintain their supremacy. 

On the other hand, the Average True Range(ATR), the market volatility indicator, signals a high volatility rate in the short term and hence one can expect huge price fluctuations. While in the long-term, the volatility rate is expected to reduce to manifest a steady rally. Moreover, the Average Directional Index(ADX) used to determine when the price is trending with extreme strength is negative at the press time. And hence the rally could be pretty weak with minor fluctuations until the market stabilizes a little.  

Coming to the Moving Averages, the price just slipped from the 50-day MA in STF but with an opportunity to regain the levels above them. However, continuing with the downtrend, the asset may hit the support levels in the short term, and here’s when one can expect a rebound. Moreover, if ATOM price intends to trend within an uptrend then the daily close needs to be above 50-day(MA) at $38.39. But if successfully closes above the immediate resistance levels at $39.74, one can expect a new ATH during the next 24 to 48 hours.

Cosmos(ATOM)/USDT Technical Analysis for the Week

Cosmos price had maintained a notable rally flipping the bears, since the beginning of the year 2022. The asset in the daily time frame had attempted to smash the current ATH but faced a minor rejection. Yet without wasting much time by undergoing consolidation, the asset quickly surged to test the ATH again. The ATOM price could have formed a new ATH now, but the market crash led by the dominant crypto Bitcoin hindered the rally.

Source: Tradingview Date: 21-01-2022 Time: 1:30pm

  • A huge amount of selling pressure mounts up within the platform, compelling the price to undergo a bearish divergence
  • The Bollinger bands currently are on the verge to get squeezed hence pointing towards a drastic price movement awaiting ahead. 
  • Therefore, the upcoming hours could be pretty crucial for the assets as the squeezed bands signal the price to take a drastic direction along the path of the volume 
  • Yet if the buying volume mounts up, the ATOM price may not only form a new ATH but also hit the $50 milestone before the end of this month.
  • On the contrary, if the selling volume mounts up, then the chances of plunging below $30 appear pretty high. 

Additional Read: Cosmos ATOM Price Prediction 

Cosmos(ATOM)/USDT Technical Analysis for Today

The ATOM price had formed a notable double bottom pattern and as an outcome had jumped out of consolidation gaining more than 10% from the neckline. Yet the asset began to plummet hard since the beginning of the current trading day which hampered the bullish plot. Currently, the asset is trying to halt the bearish trend as some may have jumped in to buy at the dip, yet the selling pressure does not have seemed to ease. And hence one can expect a slowed recovery or a consolidation for the next couple of hours. 

The Cosmos(ATOM) price at the press time is $ 7.50 with a drop of 4.84% compared to the previous day’s close. While the market cap remains depleted by nearly 5% yet stands strong above $10.7 billion. On the other hand, the trading volume has jumped drastically by more than 116% showcasing a notable buying volume that may mount in the next 2 to 4 hours. 

Where & How to buy Cosmos(ATOM)

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Disclaimer: The above views, information represent the independent views of Primestack Pte. Ltd, Neblio Technologies Pvt. Ltd, and/or their affiliate entities and are for informational/ educational purposes only. The content, information or data provided above is not an offer, or solicitation of an offer, to invest in, or to buy or sell any interest or shares, digital assets/ cryptocurrencies or securities, or to participate in any investment or trading strategy. Any statement or communication made above shall not be treated as legal, financial, investment or tax advice by the reader. The calculations, data, risk-return formulations, performance or market capitalization indicators captured above are based on the independent data sourcing including collation of public information and/or analysis performed by analysts, advisors or employees of Primestack Pte. Ltd/ Neblio Technologies Pvt. Ltd and/or their affiliate companies and/or any third party. Past performance is not indicative of any future results. The reader(s) are hereby advised to consult their financial/ legal/ tax advisor(s) before making any investment.


 

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