Connect with us

Hi, what are you looking for?


Cosmos approaches all-time high after record volume on its DEX

Cosmos approaches all-time high after record volume on its DEX

Amid the weak performance of the market, Cosmos (ATOM) was one of the few cryptocurrencies that registered positive performance. During the last 24 hours, the ATOM price has risen by more than 10% and has broken the $41 barrier.

The reason for the valuation was the recent results of Osmosis, a decentralized exchange (DEX) that operates in the network. According to DeFi Llama, DEX has reached the US$1.08 billion mark in Total Allocated Value (TVL). It also hit a record $95 million in daily volume.

As a result, both the ATOM and the DEX token (OSMO) operate at a high. However, OSMO has already surpassed its historic maximum. This Tuesday (4), its price surpassed the US$ 8 barrier, an increase of 7.56% in 24 hours.

Token OSMO registra máxima histórica. Fonte: CoinMarketCap.

What to expect?

According to the four-hour chart, the ATOM has formed a bullish pattern over the past six weeks. This move actually materialized and, at first, brought the cryptocurrency to its first resistance (US$36).

For seven weeks, ATOM successively tested the $32.50 support. Until the last four days, the price finally started a sustainable appreciation. As a result, the cryptocurrency recorded a 32% gain in this period, going from US$31 to the current value of US$41.66.

Análise da ATOM. Fonte: Yash Majithia/TradingView.

The volume meter marked smaller tops than the previous ones, indicating a reversal of the uptrend. However, ATOM maintained its trajectory and, until the closing of this article, managed to hold support at US$ 41.

With the drop in volume, the buying force faces a hurdle at the $40.7 mark. If this support is broken, ATOM may restate the first major corrective support, forecast in the $37 range.

Finally, the Relative Strength Indicator (RSI) points to overbought, that is, the ATOm would be quoted above its fair price. Therefore, a short-term reversal followed by a correction should not surprise investors.

Also read: Curve Wars: Rally intensifies on CRV token

Also read: Mining of cryptocurrencies prohibited in one more country

Also read: Tether freezes over $1 million USDT belonging to a single address

You May Also Like