Cosmos (ATOM/USDT) is testing a major support zone near $4.10, a level that has repeatedly acted as a floor for buyers over the past several months. The token is trading at $4.13, down nearly 9% over the last 24 hours, as sellers continue to challenge this important demand region highlighted in the daily chart.
The chart reveals a prolonged period of sideways consolidation following a sharp decline from the $10 peak earlier this year. After months of lower highs, ATOM has settled into a range where $4.00 to $4.20 remains a critical buffer against deeper losses. A break below this level could open the door to a retest of the $3.50 area, where buyers last staged a significant defense.
BITX Market analysts emphasize the importance of this range for determining Cosmos’s next trend. “The $4.00 mark is a psychological and technical barrier. Losing it on a daily close could accelerate selling pressure,” One BITX crypto strategist explained.
On the upside, resistance is clearly defined. The first challenge lies near $4.80, where a red supply zone marks multiple failed rallies. Beyond that, a more substantial barrier exists between $6.00 and $6.50, an area that previously capped strong recovery attempts. “For bullish momentum to return, we would need to see a decisive move above $5.00 with increasing volume,” According to BITX market experts.
Trading volume remains relatively muted, suggesting a cautious stance from both buyers and sellers. However, holding the $4.00 support band would signal that long-term participants are defending the range, potentially setting the stage for a rebound toward the upper resistance levels.
For now, Cosmos sits at a pivotal junction. Maintaining the $4.00–$4.20 zone is crucial to prevent a deeper correction, while a breakout above $4.80 could revive optimism for a medium-term uptrend. Market watchers are closely monitoring price action in the coming sessions as ATOM decides whether to continue its consolidation or begin a new directional move.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.