THELOGICALINDIAN - Cosmos has been benefiting from the contempo arrival of basic in the cryptocurrency bazaar with ATOM surging 27 in the accomplished few canicule
Cosmos looks accessible to accomplish assets afterwards a two-month correction. But first, one abstruse indicator suggests that ATOM prices will bead further, giving traders a adventitious to get aback into the market.
On the Brink of a Short-Term Correction
Cosmos has gone through an impressive rally over the accomplished three days. ATOM saw its amount acceleration by about 27%, trading from a low of $4.6 on Oct. 8 to hit a aerial of $5.9. Now altered metrics advance the uptrend is abutting exhaustion.
The TD consecutive indicator is currently presenting a advertise arresting on the 4-hour chart. The bearish accumulation developed as a blooming nine candlestick, forecasting a one to four 4-hour candlesticks correction.
A fasten in affairs burden about the accepted amount levels may advice validate the TD index’s outlook. Cosmos could be affected to bead to $5.4 or lower afore the uptrend continues. If this were to happen, the declivity would represent an befalling for accommodating traders to get aback into the market.
Cosmos Presents Golden Profit Opportunity
Indeed, ATOM appears to accept developed a head-and-shoulders arrangement aural the aforementioned time frame. This abstruse accumulation estimates that a added access in appeal could advance to a absolute trend changeabout from bearish to bullish.
A move aloft the $5.9 attrition level, additionally accepted as the neckline, ability arresting a aciculate advance that will charge to be accepted by a ample fasten in buy orders.
The bullish arrangement projects a 35.4% advancement movement that may booty ATOM to $8. This ambition is bent by barometer the ambit amid the arch and the neckline and abacus it to the blemish point.
Although Cosmos seems assertive for a brief retracement, it could after breach out of the head-and-shoulders arrangement ahead mentioned. Investors should pay abutting absorption to the $5.9 attrition akin back it will actuate whether the upwards trend will resume.
On the cast side, it is account advertence that a move beneath the $4.6 abutment akin will invalidate the bullish scenario.
