The strong uptrend of the ATOM coin has given a bullish breakout of the parallel channel.
Some in the cryptocurrency industry are concerned about the high degree of fragmentation that is evident in blockchain networks. There are hundreds of blockchain networks. However, only a handful can communicate with each other. Cosmos seeks to reverse this situation by making communication possible.
Cosmos has been described as "Blockchain 3.00", and it is a goal to make it simple to use. It is a software development platform that emphasizes modularity. This allows the creation of a network with code fragments that already exist. As a long-term goal, complex applications will become easier to construct.
Scalability is another priority. That means transactions can be processed faster than with older blockchains such as Bitcoin and Ethereum. Blockchains must be able to handle the demands of payment processing companies, websites, and other users if they want to achieve widespread adoption.
ATOM coin price faces a short-term retracement in spite of this, the bullish rally represents an uptrend.
On September 06, 2021, ATOM opened at $25.75. On September 12, 2021, LINK closed at $34.91. Thus, in the past week, the LINK price has increased by approximately 35.65%.
Source - Tradingview
ATOM coin price is trading at $37.52 at the time writing with a rise of 15.65% in the past 24 hours. The overpowered uptrend has broken out of the rising parallel channel thanks to the tremendous rise in buying pressure.
Source - Tradingview
The strong uptrend of ATOM cryptocurrency has given a bullish breakout of the parallel channel. Furthermore, the recently made lower price rejection near the $30 mark indicates a successful retest. Thus, the breakout of the $40 level may catalyze the bullish rally and help reach the $60 mark.
As per the pivot points, the ATOM coin price may find resistance near $50 and $60.
And the support levels are at $35 and $30.
The exponential moving averages of 50, 100, and 200-days rise higher in the bullish formation. They may act as support levels in case of an unexpected downfall.
Currently, the RSI indicator is residing at 72% as it falls resulting in a bullish divergence pattern. The divergence forecasts a dip shortly.
Furthermore, the ATOM coin price is moving above the bullish cloud of the Super Trend projecting an uptrend in motion. The uptrend grows stronger as the price retests the bullish breakout.
ATOM token price grows in an uptrend by breaking above the parallel channel. The possible breakout of the $40 level serves as an excellent entry spot upon retest with minimum risk.