ATOM Shows 10% Surge in Price After Significant Sell Pressure

Cosmos Hub’s ATOM token bursts into the scene after capturing some momentum from the market’s recent dismal performance. According to Coingecko, the token is up more than 10% since yesterday’s market overreaction. This is largely due to Cosmos’s continuous efforts to innovate despite the performance of the market which has now rebounded over 8% in the past 24 hours. 

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This month, ATOM holders are eyeing several developments that will bring more attention to the platform. These developments might help push ATOM’s position in the market in favor of the bulls in the long run.

New On Boards For ATOM And Other Achievements

Although ATOM’s market performance leaves much to be desired, Cosmos Hub continues to move within the crypto community, bringing in value from across the space. 

Lava Network, a blockchain infrastructure platform, recently launched its mainnet while garnering a total of 50 billion network requests from its supported chains. The network was built using Cosmos’s SDK, giving a look-see for developers who might want to build on the platform. 

Cosmos itself also experienced some growth. According to Everstake’s recent thread on the platform’s performance for the first half of the year, Cosmos saw an increase in staked ATOM tokens on the platform which translates to a higher engagement rate in Cosmos’s delegation. The thread also featured several chains that are part of the broader Cosmos Hub network. 

On Celestia, the year-to-date active addresses jumped by a significant figure – from 308.7k to 845.7k which accounts for over 69% staking ratio, the highest in the Cosmos network. 

ATOM market cap currently at $1.8 billion. Chart: TradingView

Injective also saw some growth after implementing gas compression, a feature that significantly decreases transaction fees, during the start of the year. The market platform saw total staked INJ tokens increase to 60.4 million INJ. Just today, INJ processed a total of $200 million worth of transactions on its native decentralized exchange (DEX), marking another milestone for the platform. 

These are only some of the factors that will inevitably contribute to Cosmos Hub’s position to solidify in the market. With some time, ATOM might rebound from its cautious state. 

Investors Should Be Cautious Of This Level

As of writing, the token still sits on a fairly unstable price range at between $3-$5. This shows the token’s precarious position in the short term as bearishness still lingers on the market. 

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ATOM’s minute gain can be attributed to the market’s recent jump and the most recent developments on-chain, both of which are not enough to capture any significant value in the short term. Thus, investors should remain cautious of ATOM as it can be more susceptible with bearish pressure in the short term. 

However, ATOM bulls can take advantage of the lower volatility of the token to settle between the $3 to $5 range before accumulating momentum for a major breakthrough in the long term. 

Featured image from PXfuel, chart from TradingView

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