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Disclaimer: The findings of the next evaluation are the only real opinions of the author and shouldn’t be thought of funding recommendation.
Bitcoin [BTC] has traded at an attention-grabbing place previously few hours. The worth managed to bounce from $18.6k and retested the $19.2k mark as help the day gone by. In latest weeks, the $20.5k-$20.8k space has posed some resistance to BTC. Cosmos [ATOM] has moved in tandem with the king of crypto. The token’s ascent previous the $12 stage signaled that bulls may have regained some power.
ATOM- 1-Day Chart
![Plotting the path forward for Cosmos [ATOM]- can $17.4 be tested soon?](https://statics.ambcrypto.com/wp-content/uploads/2022/09/PP-2-ATOM-price.png)
Supply: ATOM/USDT on TradingView
The $13.95-$15.1 area was highlighted by the pink field. The $12.2 worth has acted as resistance previously two months. The longer-term bias for ATOM had been bearish in July. Nevertheless, the value climbed previous the $9.5 resistance in early August. This prompt that the momentum turned in favor of the bulls.
On the time of writing, ATOM approached the $14-$15 provide zone, marked by the pink field. Rejection from this resistance may happen. Again in Might, the value examined this space as resistance earlier than plunging additional. Subsequently, within the subsequent few days, this area may act as essential resistance.
Rationale
![Plotting the path forward for Cosmos [ATOM]- can $17.4 be tested soon?](https://statics.ambcrypto.com/wp-content/uploads/2022/09/PP-2-ATOM-indicators.png)
Supply: ATOM/USDT on TradingView
The Relative Power Index (RSI) on the each day chart climbed above impartial 50 in late June. Since then, it has managed to remain above the 45 mark. The RSI was above impartial 50 for 2 months which meant that the momentum of Cosmos was noticeably bullish.
Nevertheless, the Directional Motion Index (DMI) didn’t agree with this discovering. The ADX (yellow) was beneath the 20 worth, whereas the -DI (pink) and +DI (inexperienced) snaked concerning the 20 mark. Therefore, the indicator pointed towards a scarcity of a big pattern within the each day timeframe.
The Chaikin Cash Circulation (CMF) has been above the zero line. It additionally noticed occasional forays above the +0.05 worth, to point out elevated shopping for stress. Taken collectively, the symptoms confirmed the presence of some shopping for stress and bullish demand. But, the pattern was not strongly pointed upward for ATOM.
Conclusion
If the bulls can break above the $15 resistance zone and flip it to demand, additional positive aspects will be anticipated. A retest of the $15 zone can provide a shopping for alternative concentrating on $17.4 and $20.5, with a stop-loss beneath $14. Nevertheless, some sideways motion may come up with ATOM simply beneath resistance.
