- Following a retest of a macro decreasing consolidation, the price of ATOM has shown strength by attempting to surpass the resistance zone ranging from $13 to $15.3.
- The ATOM coin has an essential function in ensuring the security of the Cosmos hub, especially as more and more blockchains with various consensus mechanisms are being adopted. This helps to strengthen its positive long-term prospects.
The Cosmos Hub (ATOM) is a blockchain network that has received significant funding. Its main goal is to facilitate secure communication between blockchains and promote widespread adoption. Over time, it has developed into a thriving ecosystem, attracting the attention of both individual and institutional investors.
The Cosmos Hub has successfully utilized the Inter-Blockchain Communication (IBC) protocol to connect and integrate over 249 decentralized applications and services. This has resulted in the secure management of a substantial amount of digital assets, totaling over $68 billion.
The widespread acceptance of blockchain technology has positioned Cosmos Hub as a focal point for prominent investors looking to expand their portfolios with utility-focused alternative cryptocurrencies that offer high liquidity and significant advancements.
The International Blockchain Consortium (IBC) has successfully recorded an impressive annual value transfer of over $30 billion from over 100 blockchain networks. The Cosmos network is committed to adapting to market demands, which includes facilitating token swaps and supporting the trading of NFT collectibles. Furthermore, the Cosmos network aims to introduce wrapped variations of Bitcoin and Ethereum, reducing the widespread acceptance of these leading blockchain networks by increasing their liquidity.
The Cosmos Hub is a highly scalable network that utilizes the proof-of-stake (POS) consensus mechanism to ensure security. It also boasts low transaction fees, approximately $0.01 per transaction. Over the last year, the Cosmos Hub has made a series of significant and well-thought-out collaborations to expand the range of blockchain technology applications. In addition, the blockchain technology is primarily centered around EVM blockchains.
A More Comprehensive Look at the Analysis of the Price of ATOM
The price of ATOM has exhibited a similar trend to that of Bitcoin (BTC) in recent weeks. The cost of ATOM is currently benefiting from significant support from other altcoins as the dominance of Bitcoin decreases, creating favorable conditions for the anticipated all-season.
On the daily time frame, the price of ATOM has been exhibiting a bullish pattern known as an ascending triangle. This pattern suggests a high probability of a forthcoming upward movement towards the next significant price level, which is expected to be between $13 and $15.
It is essential to acknowledge that the price of ATOM has been experiencing an upward trajectory following an effective split from the challenging period known as the 2022/2023 crypto winter. Furthermore, an everyday golden cross connecting the 50 and 200 Moving Averages (MA) supports the current upward trend. Additionally, the weekly Relative Strength Index (RSI) has risen above 60, marking the first time since the Terra Luna UST-induced cryptocurrency sell-off.
Cryptocurrency traders should exercise caution regarding a potential sell-off shortly, which may result in a decline in the price of ATOM toward the next resistance level of approximately $10.
The Cosmos ATOM network has demonstrated a healthy level of liquidity, with a total market capitalization of approximately $4.4 billion and a daily average trading volume of around $257 million, as per the latest report. ATOM, currently trading at roughly $11.69 on Wednesday, appears to have a favorable position for potential future growth, surpassing its previous record high of approximately $43 in the years ahead. Additionally, the Cosmos network has been recognized as one of the leading blockchain networks with significant development activity on GitHub over the last 30 days.