ATOM Technical Analysis: Expect the Price to Fall Below the First Fibonacci Pivot Support Level of $11.54

Cosmos is a fast-growing blockchain ecosystem that aims to build interconnected apps and services in the Defi sector. This network allows users to use the Inter-blockchain communication protocol to exchange digital money and information across multiple decentralized blockchains. ATOM is the prime governance token of this ecosystem and the technical analysis is as follows:

Past Performance

On June 26, 2021, ATOM started trading at $9.08. As of July 2, 2021, the closing price of ATOM was $11.76. Thus, in the past week, the ATOM price has surged by roughly 30%. In the last 24 hours, ATOM has traded between $10.54 – $11.87.

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Day Ahead And Tomorrow

Currently, ATOM is trading at $11.87. The price has increased slightly from the opening price of $11.69. Thus, the market looks positive.

The MACD and signal lines are negative. However, a bullish crossover by the signal line over the MACD line has occurred. But, the overall market momentum is bearish, and we can expect a price pullback. However, both the lines are close to the zero lines and may change signs soon. Thus, a trend reversal is on the horizon for ATOM.

The OBV indicator is gradually falling. Thus, selling volumes are higher than buying volumes. Hence, we can expect the price to decrease.

The RSI indicator is at 48%. It has just rallied from the 30% mark. Thus, buying pressures are slowly mounting. Hence, we can expect the price to start rising again in a few hours.

ATOM Technical Analysis

The price has fallen below the Fibonacci pivot point of $12.42. As some of the oscillators have shown bearish signals, we can expect the price to fall below the first Fibonacci pivot support level of $11.54 soon.

The price has tested and fallen below the 23.6% FIB retracement level of $11.87. If the price falls below the FIB extension level of $11.87 in some time, this implies that the price downtrend is strong. In that case, the price downswing is likely to continue tomorrow as well.