The cryptocurrency market has lost more than $200 billion over the past few days, with the prices of most coins down by nearly 10%.
The broader cryptocurrency market has been underperforming over the past few weeks. However, the losses were extended this week as Bitcoin and the other major cryptocurrencies suffered huge losses.
Bitcoin lost its support above the $45k region and is now trading above $43,000 per coin. Ether, the leading altcoins, also lost its major support level at $3,500 and is now trading around $3,300. The other leading cryptocurrencies, including Cardano, Solana, Binance Coin, XRP and LUNA, are all underperforming at the moment.
However, one of the best performers in the market at the moment is ATOM. ATOM is the native token of the Cosmos ecosystem. Over the past 24 hours, ATOM has added more than 6% to its value, outperforming numerous cryptocurrencies in the process.
At press time, ATOM is trading above $40 per coin. There is no obvious catalyst for this movement, but the Cosmos team has been revealing some of the features of the blockchain. However, that might not be enough reason why ATOM is rallying by nearly 7%.
Key levels to watch
The ATOM/USD 4-hour chart is currently one of the most bullish in the cryptocurrency space at the moment. The technical indicators show that ATOM is performing excellently and could rally higher in the coming hours.
ATOM is trading above its 50-day moving average following its recent rally. At press time, ATOM’s MACD is above the neutral zone, indicating a strong bullish momentum. Furthermore, the 14-day RSI of 58 shows that there is buying pressure on the cryptocurrency.
If the bullish trend continues, ATOM could rally past the $45 psychological level over the coming hours. In the event of an extended rally, ATOM could surpass the $50 resistance level before the end of the week.