Cosmos Price Prediction: ATOM Rallies 10% this week and shows plans for more
- ATOM price has rallied by 10% this week, breaking out of its recent consolidation.
- A move toward the $16 price level seems likely as the bullish trend continues.
- Invalidation of the uptrend would occur with a daily close below $13.
Cosmos price (ATOM) is witnessing a bullish surge this week, breaking out of its recent consolidation and moving upwards by 10%. Technical indicators accompanying the rally show bulls are confidently poised. If market conditions persist, the Cosmos token could rally an additional 10% in the coming days.
Cosmos price points higher
ATOM price currently trades at $15.12. The uptrend in ATOM has been consistent since the end of December, with the price progressively rising and gaining back lost market value from November's 40% decline.
The volume indicator shows an increase in market activity during the price rally, indicating strong support from market participants. Furthermore, ATOM is trading above both the 8-day exponential moving average and the 21-day simple moving average, compounding the positive outlook for the cryptocurrency.
With the current momentum and skeptical sentiment in the market, a conservative target for the Cosmos price rests 10% above the current market value, near the $16 price level. The $16 zone has unchallenged liquidity levels dating back to September 2022.
ATOM/USDT 1-day chart
To maintain the uptrend, ATOM needs to hold above the $13 level, which has acted as both support and resistance in the past.A daily candlestick close beneath this level would invalidate the bullish thesis. If the breach occurs Trader should prepare for a much steeper decline, likely to challenge unmitigated price levels within the recent Trend move. Under the bearish scenario, the $12 price level would likely act as the next level of support, resulting in a 20% decline from ATOM's current price.
Author
Tony M.
FXStreet Contributor
Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.
