Cosmos Coin Price Up By 3.84%. Time To Buy ATOM?

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The ATOM token by the Cosmos network has been one of the most impressive coins over the past 24 hours. Can this rally be sustained? Is it a good time to buy ATOM? Let’s dive right in.

Cosmos: Blockchain 3.0

ATOM price charts July 7

Cosmos is a decentralized network that enables data exchanges between different blockchains. The project aims to solve scalability and interoperability problems in the blockchain industry while offering an ecosystem of connected blockchains.

Cosmos’ origins can be dated back to 2014, when Tendermint, known as the gateway to the network, was founded. Cosmos published its white paper in 2016 and a year later it held a token sale/ initial coin offering (ICO).

Cosmos has three core components that work together, this includes Tendermint Core, the Cosmos Software Development Kit (SDK), and the application blockchain interface.

The project also has a distributed ledger which it calls the foundation of the blockchain called Cosmos Hub.

Cosmos was launched officially in 2019 after its ICO. The founders include Jae Kwon, Zarko Milosevic, and Ethan Buchman who are also the co-founders of Tendermint.

The protocol uses both Tendermint’s Byzantine fault-tolerant consensus protocol and the Inter-Blockchain Communication (IBC) protocol.

The ATOM token acts as the governance asset of the protocol. The tokens are earned through a hybrid proof-of-stake algorithm, and they help to keep the Cosmos Hub secure.

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ATOM Catching Some Tailwind

Like all cryptocurrencies, the ATOM token price jumped sharply early this year as demand for the coin rose.

It reached the $7 mark in January this year from the $5 it was trading at in December 2020.

The surge continued till it reached an all-time high of $32.14 in May this year. However, in the past few months, the price has plunged alongside many other assets.

Ranked 41st by market cap on CoinMarketCap, ATOM is currently trading at $12.70 marking a 3.84% increase in the last 24 hours.

ATOM Technicals And Fundamentals Analysis

ATOM’s technical indicators hinted at short-term bullish momentum over the next few days. The digital asset’s relative strength index (RSI) is at a healthy 57.34 on the daily chart.

The wolfpack ID strategy emphasized this short-term uptrend by showing the green line on the same trail as zero.
ATOM’s 20-day moving average (MA) is parallel with the indicator at $12.70 while its 200-day MA is at $12.96 signaling a bullish trend.

The Moving Average Convergence Divergence (MACD) is also bullish as it is trailing upwards above zero. These indicators show investors that it is a good time to buy ATOM.

In terms of fundamentals, Cosmos Hub passed over 100,000 ATOM delegators and 330,000 $ATOM accounts.

In addition, Akash Network, an open-source cloud also known as Airbnb for cloud computing, announced the integration of Akash Token (AKT) and Cosmos ATOM tokens on Osmosis last month.

Osmosis is an automated market maker (AMM) protocol built for liquidity providers, allowing users to earn rewards for providing liquidity. Users can now trade ATOM tokens on the network.

Cosmos has also been rolling out upgrades on its platform. The latest upgrade dubbed Stargate was launched to the Cosmos community earlier this year.

Stargate represents an important milestone for the Cosmos project on the way to launching its IBC protocol.

With this upgrade, over 200 Tendermint-based blockchains would be able to interoperate seamlessly.

Cosmos is also set to unveil another upgrade this year called the Gravity DEX, (decentralized exchange).

The Gravity DEX will act as an online marketplace for trading tokens from any connected blockchain, including tokens from IBC-enabled blockchains, wrapped ETH to wrapped BTC tokens, and from any future networks that implement IBC.

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