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Cosmos (ATOM) price has witnessed strong selling pressure. Its price has dropped to a multi-year low by losing 70% in the past 6 months. It has declined by forming lower lows and lower highs.
When writing, the ATOM price has dropped to the lower low territory and was generating a bullish momentum. At this point, profit booking for the short term can be anticipated, which may look like a bearish pullback.
Since April, the price has been struggling below the key moving averages, which indicated the sellers’ dominance. In August, buyers attempted to overcome the 20-day EMA, but sellers were strong enough and dragged down the price.
Cosmos crypto was trading at $3.92, which has increased by 3.18% in the past 24 hours. The market capitalization was $1.53 Billion, and the 24-hour trading volume was $107.19 Million.
Buyers Trying to Dominate Further?
Nilesh Rohilla (@nilesh_rohilla) has tweeted that the RSI has generated a bullish divergence. The bullish divergence might attract buyers, which may lead to a bullish momentum in ATOM Price.
$ATOM: I am seeing a bullish RSI divergence on ATOM price. THATS IT.#COSMOS #Altseason pic.twitter.com/g2IX3pJ1Cx
— Nilesh Rohilla | Crypto Analyst (@nilesh_rohilla) September 9, 2024
After a bearish trend, the RSI has generated a bullish sign and the price is in the lower-low territory. RSI has triggered a golden crossover with the RSI-based moving average.
Is It an Opportunity to Buy ATOM Crypto?
Butch (@Oxthebutch) has tweeted that the Cosmos price has melted to the bottom. Since it’s an awesome chain with many users and developers, there may be a good buying opportunity. This may be a good investment for the long-term only because this analysis is based on the monthly chart.
Check out $ATOM price action on monthly chart. Clearly, it's very close the bottom. Since it's an awesome chain with many users and developers, I think there is a great opportunity to buy it low now. But be warned: it's only good for a long-term investment which means you need to… pic.twitter.com/z7lXFIeDKl
— Butch 🥷 (@0xthebutch) September 6, 2024
According to this analysis, the ATOM price is expected to reach the $100 hurdle in 1-2 years. It may witness a gain of 26x in upcoming years.
Technical Analysis of ATOM Price Over 1-D Timeframe
As we can see, the ATOM crypto price has been falling in lower lows and lower highs format. The price was in the lower-low territory and forming green candlesticks. The RSI has generated a bullish signal, which could be a key factor.
If the buyers show confidence in the lower-low territory, short-term buying momentum can be seen. Assuming the trading volume supports this momentum, it may gain around 40% and may generate a new lower high.
From the buyers’ perspective, the price has grabbed the liquidity below the major support level and may display a bullish move. If the price manages to overcome the 200-day EMA level, a trend reversal might be possible.
Alternatively, if the buyers fail to take over the momentum, sellers are strong and may keep dominating further. Losing the $3.50 mark may attract sellers for a new all-time low.
ATOM Price Analysis
The ATOM price has remained bearish for the past few months and dropped to a multi-year low. It was trading below the key moving averages, which showcases the bearish trend. However, the RSI has generated a bullish divergence, which may attract buyers for a rebound.
The bullish trend in Cosmos price can be interrupted near the $6.30 and $9.00 mark. The price may take support at $3.50 and $2.40 levels.