Cosmos holds in recent range as RSI and CCI tilt bearish: weekly report

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Cosmos drops 2.83% this week

Highlights

ATOM continues to trade below major moving averages, indicating persistent medium- and long-term bearish pressure.
Momentum indicators confirm that sellers are in control, with negative signals from MACD, ADX, and Bull/Bear Power.
The expected seven-day price range is $1.42 to $1.73, with a higher probability of further downside movement.

Bearish pressure dominates with multiple indicators confirming

Weekly technical analysis for ATOM shows continued selling pressure, with price action remaining under all major weekly moving averages and the MA-20 serving as the nearest dynamic resistance. The MACD and ADX confirm the bearish momentum, as sellers continue to dominate and Bull/Bear Power remains negative. The RSI is also leaning bearish, the Stochastic RSI appears neutral, and the CCI displays an oversold reading. The Awesome Oscillator stays negative, supporting the broader downward trend and reflecting steady pressure throughout the past week.

Range-bound trade expected as downside risk persists next week

For the next 7 days, ATOM is expected to trade in a range between $1.42 and $1.73, in line with the recent volatility and the predominately bearish momentum signaled by weekly indicators. The probability of a significant upside move is currently less than 20%, with prevailing trends favoring further declines. Should a bullish reversal emerge, a breakout above $1.73 could indicate a shift in trend, but the base scenario anticipates range-bound price action, with downside risks if sellers regain control and push below $1.42.

Jainam Mehta, market strategist, notes that ATOM ended the week under pressure, with price remaining well below all major weekly moving averages and technicals confirming persistent bearish momentum. He believes that downside risks are dominant, as indicators offer little evidence of a bullish reversal, and range-bound price action between $1.42 and $1.73 is likely in the coming week. Mehta points out that an oversold reading on the CCI may offer tactical opportunities for nimble contrarians if price approaches the $1.42 level. "Unless ATOM decisively breaks above $1.73, my base case remains for continued consolidation with a bias to the downside," he says.

Earlier, analysts noted that Cosmos was experiencing entrenched bearish momentum, supported by persistent weakness across technical and sentiment indicators. This latest analysis reinforces that view, with prevailing downside risk and a critical focus on the $1.42 support level as a potential pivot point for traders in the days ahead.

Source of Data: ATOM Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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