Cosmos (ATOM) has been one of the indispensable exact-performing crypto resources of the past few weeks. The outstanding altcoin has obtained dozens of percent against the greenback and against BTC over most up-to-date weeks, setting new all-time highs.
In the past 24 hours, the asset is up 3.6% and up 20% in the past seven days.
Cosmos may per chance per chance well also very successfully be poised to reverse, despite the indisputable truth that, with the Tom Demark Sequential printing a textbook sell signal.
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Cosmos (ATOM) Prints Reversal Signal
Cosmos (ATOM) has formed a bearish reversal signal on its BTC pairing, in response to a Telegram channel monitoring conditions of the Tom Demark Sequential.
The indicator is a time-essentially based totally indicator that prints “9” and “13” candles when an asset is at an inflection level in its fashion.
Consistent with the Telegram channel, ATOM has formed a “sell 9” candle on the most up-to-date weekly candle. This may per chance per chance well also position off a robust bearish fall in the weeks ahead.
Chart of Cosmos' stamp action against BTC all around the final one year or so from a Telegram channel monitoring the Tom Demark Sequential. Chart from TradingView.com
The Tom Demark Sequential has had decent success with Cosmos to this point.
As may per chance also be considered with the chart above, a Tom Demark “Seize 9” became as soon as formed after a robust drawdown. The asset then bounced by dozens of percent in the months that adopted.
Cosmos also flatlined in the 2 weeks after it formed a “sell 9” candle, however then proceeded to switch bigger. Technically, this signal became as soon as not unsuitable as TD Sequential “9” candles are considered when an asset consolidates, not at reversal facets.
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Bitcoin to Dictate Altcoin Directionality
Bitcoin is most likely to dictate the directionality of altcoins, both against the greenback and against BTC. Volatility in the price of the main cryptocurrency has on the entire intended that altcoins underperform. As Mohit Sorout of Bitazu Capital wrote to NewsBTC;
“Most (altcoin) cycles in crypto are centered spherical bitcoin volatility. When it dries up, no one needs to change btc which becomes evident from the quantity as successfully. This ends in a immense uptick in speculation on alts, riding their prices up – fundamentally alts with sturdy narratives & immense scale memetic behavior get the most volumes. It’s attention-grabbing to dispute that btc moral skilled its one of the indispensable bottom volatility lessons. Volatility is a sinusoidal wave & we moral handed the trough space of it.”
Bitcoin is poised to explore volatility as its stamp tightens in the vary between $11,000-12,000.
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Featured Image from Shutterstock Mark tags: atomusd, atombtc Charts from TradingView.com After Parabolic Rally, Cosmos (ATOM) Factual Formed a Textbook Sell Signal