Cosmos price prediction: Will selling continue after Binance crash and bearish signals?

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Cosmos drops 22.05% today to $3.17

Highlights

Cosmos (ATOM) fell 22.05% to $3.174, trading well below its 20-, 50-, and 200-day moving averages and confirming persistent bearish momentum.
A flash crash on Binance drove ATOM briefly to $0.001 on October 11, 2025, prompting Binance to tighten leverage and enhance market surveillance amid ongoing network upgrades.
Bearish technical signals persist, with RSI at 23.67, CCI at -344.84, support at $2.861, and upside potential limited unless ATOM breaks above the $3.298 resistance level.

Flash crash exposes liquidity risk amid network upgrades and Binance response

Cosmos experienced a dramatic flash crash on Binance on October 11, 2025, plunging to $0.001 before rapidly recovering, spotlighting risks tied to liquidity management and algorithmic trading on the platform. In response, Binance implemented measures to reduce leverage and enhance market surveillance. Continued network development, including the rollout of the DeFi firewall Emeris and progress on the standalone dYdX chain, contributes to market uncertainty despite ongoing ecosystem upgrades.

Intensified selling as indicators confirm oversold and absent support

Momentum indicators confirm bearish sentiment, with the MACD in sell mode and ADX showing a strong trend. The RSI at 23.67 and CCI at -344.84 signal pronounced oversold conditions, while Stoch RSI remains near its lower bound and the BBP suggests intraday momentum is heavily dominated by sellers. The Awesome Oscillator and the absence of nearby support above today's $2.861 session low further reinforce the negative outlook, with the nearest resistance seen at the Ichimoku Kijun of $3.298.

Low rebound probability as sideways trade favors further declines

In the short term, ATOM is expected to trade sideways within a projected range of $3.324 to $3.460, averaging near $3.392. The chance of a price increase is very low (less than 20%), and further declines are more likely unless a sustained break above $3.298 triggers short covering toward $3.46. Should the price fall below $2.86, selling momentum could accelerate and deepen the current bearish trend.

Viktoras Karapetjanc, expert at Traders Union, sees Cosmos (ATOM) trading under significant bearish pressure after the flash crash, with momentum indicators and price action both pointing to continued downside risk. He believes the market is still digesting the implications of recent liquidity disruptions and platform responses, while persistent volatility reflects uncertainty about the ecosystem’s ongoing development. However, Karapetjanc maintains a constructive, high-optimism outlook, viewing current oversold signals as a potential springboard for recovery if sentiment turns. "While the short-term remains weak, I see strong fundamental and macro trends in the Cosmos ecosystem that could spur a robust rebound once technical resistance at $3.298 is broken," says the expert.

Previously it was noted that Cosmos strengthened its ecosystem leadership by appointing Jason Zhao, a blockchain and AI specialist, to guide innovation and AI strategy. Technical signals in the last report showed sellers retain control and the prevailing downtrend but price action was largely sideways amid moderate volatility.

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

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.