Cosmos (ATOM) is Expressing a Bearish Trend

Cosmos (ATOM) is expressing a bearish trend with the overall market and showing signs of decline in its price due to BTC’s recent price volatility.

Cosmos (ATOM) is showing signs of decline in its price with the overall market and with Bitcoin (BTC) recently putting a spanner in the works for crypto traders.

Over the last week, ATOM’s price has decreased by 13.38%, and over the last month, the token’s price has gone down by 14.05%. At the time of writing, ATOM is trading at $ 3.97 with a 24-hour trading volume of $ 94.07M and a market cap of $ 1.55B. The ATOM price decreased by 2.10% in the last 24 hours.

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Crypto experts are watching Cosmos (ATOM) after the token created a falling wedge formation on the daily chart, a bullish formation that might mark the bottom of its downtrend.

The falling wedge, defined by converging price trendlines hinting lower, tends to be followed by sharp price spikes when accompanied by a breakout through resistance.

ATOM is currently at wedge support, with a possible bounce from this point for a bullish reversal. If buying increases, levels of $5.40, $6.20, $7.25, and potentially as far as $9.00 are in view. Both technical resistance levels and levels based on Fib extensions are in view, indicating scope for extensive upside if momentum strengthens.

This comes at a time when altcoin investors are looking for breakout candidates in shifting attitudes in markets. Cosmos, with an interoperable blockchain system supporting an active pool of developers, is likely to regain investor interest if it delivers the breakout.

Traders are, however, advised to watch price action, with wedge formations also producing false breaks in volatile times.