In our last technical analysis on Cosmos (Ticker: ATOM), on the USD pair, that we posted on Christmas day 2019, we identified the ascending channel that ATOM’s PA is currently moving in.
We anticipated a likely move to the grey zone and the channel’s mid-line before possibly testing $4.850 for the first time since July 2019. Price had more upside strength (i.e. demand) that pushed it towards the upper limit of the channel before retracing to test the mid-line.
Currently, we are on a possible rise towards $4.850 once again. Looking on the short to mid-term perspective for ATOM’s price action we can say that as long as the mid-line holds, we will test $4.850 in the near future. If the latter is broken as resistance and flipped to support we would likely see further gains.
Looking towards a longer-term perspective for ATOM/USD; we could say its current structure of higher highs and higher lows puts it as a strong candidate for further gains. The only requirements for this would be to not breakdown below the channel’s support.