The Cosmos price has been pressured this week. It is trading at $18.80, which is 30% below its all-time high of $26.73 but is 95% above its lowest level this week at $9.85.
Cosmos news: The ATOM price dropped sharply this week in reaction to the sharp decline of Bitcoin and other crypto majors. Before the sharp decline, the Cosmos price was up by more than 710% this year. It is still up by more than 470%, bringing its total market cap to more than $4 billion.
The most recent major Cosmos news is that the developers managed to release the new Stargate update. This update brought about several important improvements of the protocol. The most notable of this upgrade is the Inter-Blockchain Communication (IBC) protocol.
The IBC will help developers in the Cosmos ecosystem to build products that can communicate with other blockchains like Ethereum and Solana. As a result, this could lead to improvements to existing Cosmos projects like Terra and Binance Chain.
In my last note on the ATOM price prediction, I noted that a pullback to $15 was possible. While this week’s decline was hard to predict, the forecast was right as the price pulled back to $10 before bouncing back to $24.
On the hourly chart, we see that the Cosmos price is pointing lower at an important level since it is at the median of the Andrews Pitchfork level. Therefore, a strong decline below this level will incentivise bears to retest the first support at about $15. This is about 20% decline from the current level.
