Cosmos (ATOM) experienced a short positiveย tendency momentum on May 10, 2023. The investment saw an increase of 10.89% taking itsย value to a high of $11.2.
Nonetheless, the bears regained control of the market on May 13 and sent the coin to its current price of $10.40, representing a decrease of 1.12%.ย From the beginning of May 2023 till date, ATOM has witnessed a price decline of 11.2%, accordingย to its current price.
Bears In Control of Comos (ATOM) Price
The ATOM/USDT daily chart impliesย that the market sentiment for Cosmos (ATOM) is predominantly bearish.ย It likewise shows a downward price movement dominating and hindering any potential positiveย tendency momentum.
Related Reading: Data Suggests Small Holders Will Drive Next Cardanoย (ADA) Rally
The price of ATOM was influenced negatively by theย pastย few chaotic legal battle with its previous growth and strategy chief, Grace Yu.ย
Theย latestย information raised negative sentiments between investors and market participants toward Cosmos (ATOM). The Validators even urged Cosmos founder Kwon Jae to close the case against Grace Yu. And this action signifies a level of concern within the Cosmos community.
Negative sentiment towards an investment can influence investor behavior, decreasing demand for ATOM and potentially contributing to downward pressure on its price.
An example of this isย theย factย that ATOM has been trending down since April 17, suggesting a bearish sentiment. The trendline now serves as a reference for identifying potential resistance levels since the investment has tested it severally.
Cosmos (ATOM) trades betwixt $10.160 and $11.301 support and resistance levels.ย ATOM breaking through the $10.160 primary levelย ofย support will confirm the bearish momentum. Afterward, the bears canย potentially target theย following levelย ofย support at $8.441.
Nonetheless, the bulls are trying hard to push the price to the primary resistance level of $11.301 but couldnโt owingย to the high bearish momentum.ย
ATOM Technical Analysis
ATOM is trading below its 200-Day and 50-Day Simple Moving Averages (SMA), suggesting a bearish market sentiment.ย
This level signifies that ATOMsโ recent and longstanding price averages are declining, potentially indicating a negative tendency and a higher possibilityย of further downward price movement.
Related Reading: Memeย Cryptocurrency Season May Be Over As PEPE, Shibaย Inuย (SHIB), DOGE, Continue Decline
The Moving Average Convergence/Divergence (MACD) confirms the bearish market sentiment as the investment trades the signal line.ย It impliesย that the short-term moving average moves lower than the longer-term moving average, pointing toward downward momentum.
Inย theย meantime, the Relative Strength Index (RSI), with a reading of 43.29, suggests a neutral market sentiment.ย
The indicator shows the price is neither overbought nor oversold. For now, the ATOM price outlook is bearish. Onย theย otherย hand, cryptocurrency assets are volatile and could deviate from predicted price trends without warnings.
Featured image from Pixabay and chart from Tradingview.com
