Great Buying Opportunity For Cosmos (ATOM)
Cosmos is one of my favorite long-term projects that I believe will be very influential in the cross chain sector along with Polkadot. After reaching highs of almost $9 recently the price retraced all the way down to $3.80 and appears to be showing a new found strength as it trades at $5.24 at the time of writing. If you bought that dip at $3.80 and proceeded to stake your ATOM on the Atomic Wallet at 10% APR you would be smiling now but you know how it goes! Buy the dip and it goes lower or choose not to and it bounces! Good old "Murphy" seems to spend a lot of his energy in the markets.
I had a few orders lying in wait for a drop but the lowest I managed to catch was $4.87, which is not too bad but still not great. Having a look at the daily chart in the screenshot below, one can see the formation of an inverse head and shoulders pattern taking place. It is a bit wonky but I have seen worse playing out.
It is important to remember that even if BTC dominance takes the stage it does not disqualify alts from performing well. It is merely a trend for the general market and you will have isolated cases of certain alts performing very well. In a time when the BTC dominance was at it's strongest, BNB managed to outperform the entire market, including BTC!
I would like to see the neckline broken and continue to hold above $5.95 before I pack my bags and ride it up to approximately $7.80. As I mentioned in an earlier post I am not looking to trade alts apart from some very convincing technicals.
This is very much still a trade idea as the neckline needs to be broken and confirmed.
Please remember that this is not financial advice! Please do your own research and ensure you are aware of the risks involved with trading.
