ATOM Blows Up 10% After Significant Sell Pressure

Christian Encila

11 months ago

4 mins read

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Cosmos Hub’s ATOM token bursts into the scene after capturing some momentum from the market’s recent dismal performance. According to Coingecko, the token is up more than 10% since yesterday’s market overreaction. This is largely due to Cosmos’s continuous efforts to innovate despite the performance of the market which has now rebounded over 8% in the past 24 hours.

This month, ATOM holders are eyeing several developments that will bring more attention to the platform. These developments might help push ATOM’s position in the market in favor of the bulls in the long run.

New On Boards For ATOM And Other Achievements

Although ATOM’s market performance leaves much to be desired, Cosmos Hub continues to move within the crypto community, bringing in value from across the space.

Lava Network, a blockchain infrastructure platform, recently launched its mainnet while garnering a total of 50 billion network requests from its supported chains. The network was built using Cosmos’s SDK, giving a look-see for developers who might want to build on the platform.

Lava is certainly on fire after its mainnet launch 🌋@lavanetxyz, powered by CosmosSDK, is providing decentralized and accountable RPCs for the Cosmos Hub.

Welcome to the interchain! ⚛️ https://t.co/9bxZZuzzux

— Cosmos Hub ⚛️ (@cosmoshub) August 5, 2024

Cosmos itself also experienced some growth. According to Everstake’s recent thread on the platform’s performance for the first half of the year, Cosmos saw an increase in staked ATOM tokens on the platform which translates to a higher engagement rate in Cosmos’s delegation. The thread also featured several chains that are part of the broader Cosmos Hub network.

1/8 We are excited to present another entry in our series of staking reports, covering the progress in #Cosmos Interchain family, including @cosmoshub, @CelestiaOrg, @injective, @osmosiszone, @KAVA_CHAIN, and @babylonlabs_io.

This thread presents a brief overview of their… pic.twitter.com/3pEU24kULr

— Everstake (@everstake_pool) August 1, 2024

On Celestia, the year-to-date active addresses jumped by a significant figure – from 308.7k to 845.7k which accounts for over 69% staking ratio, the highest in the Cosmos network.

ATOM market cap currently at $1.8 billion. Chart: TradingView

Injective also saw some growth after implementing gas compression, a feature that significantly decreases transaction fees, during the start of the year. The market platform saw total staked INJ tokens increase to 60.4 million INJ. Just today, INJ processed a total of $200 million worth of transactions on its native decentralized exchange (DEX), marking another milestone for the platform.

These are only some of the factors that will inevitably contribute to Cosmos Hub’s position to solidify in the market. With some time, ATOM might rebound from its cautious state.

Investors Should Be Cautious Of This Level

As of writing, the token still sits on a fairly unstable price range at between $3-$5. This shows the token’s precarious position in the short term as bearishness still lingers on the market.

ATOM’s minute gain can be attributed to the market’s recent jump and the most recent developments on-chain, both of which are not enough to capture any significant value in the short term. Thus, investors should remain cautious of ATOM as it can be more susceptible with bearish pressure in the short term.

However, ATOM bulls can take advantage of the lower volatility of the token to settle between the $3 to $5 range before accumulating momentum for a major breakthrough in the long term.

Featured image from PXfuel, chart from TradingView

Christian Encila

They say journalists never truly clock out. But for Christian, that's not just a metaphor, it's a lifestyle. By day, he navigates the ever-shifting tides of the cryptocurrency market, wielding words like a seasoned editor and crafting articles that decipher the jargon for the masses. When the PC goes on hibernate mode, however, his pursuits take a more mechanical (and sometimes philosophical) turn.

Christian's journey with the written word began long before the age of Bitcoin. In the hallowed halls of academia, he honed his craft as a feature writer for his college paper. This early love for storytelling paved the way for a successful stint as an editor at a data engineering firm, where his first-month essay win funded a months-long supply of doggie and kitty treats – a testament to his dedication to his furry companions (more on that later).

Christian then roamed the world of journalism, working at newspapers in Canada and even South Korea. He finally settled down at a local news giant in his hometown in the Philippines for a decade, becoming a total news junkie. But then, something new caught his eye: cryptocurrency. It was like a treasure hunt mixed with storytelling - right up his alley!

So, he landed a killer gig at NewsBTC, where he's one of the go-to guys for all things crypto. He breaks down this confusing stuff into bite-sized pieces, making it easy for anyone to understand (he salutes his management team for teaching him this skill).

Think Christian's all work and no play? Not a chance! When he's not at his computer, you'll find him indulging his passion for motorbikes. A true gearhead, Christian loves tinkering with his bike and savoring the joy of the open road on his 320-cc Yamaha R3. Once a speed demon who hit 120mph (a feat he vowed never to repeat), he now prefers leisurely rides along the coast, enjoying the wind in his thinning hair.

Speaking of chill, Christian's got a crew of furry friends waiting for him at home. Two cats and a dog. He swears cats are way smarter than dogs (sorry, Grizzly), but he adores them all anyway. Apparently, watching his pets just chillin’ helps him analyze and write meticulously formatted articles even better.

Here's the thing about this guy: He works a lot, but he keeps himself fueled by enough coffee to make it through the day - and some seriously delicious (Filipino) food. He says a delectable meal is the secret ingredient to a killer article. And after a long day of crypto crusading, he unwinds with some rum (mixed with milk) while watching slapstick movies.

Looking ahead, Christian sees a bright future with NewsBTC. He says he sees himself privileged to be part of an awesome organization, sharing his expertise and passion with a community he values, and fellow editors - and bosses - he deeply respects.

So, the next time you tread into the world of cryptocurrency, remember the man behind the words – the crypto crusader, the grease monkey, and the feline philosopher, all rolled into one.

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