ATOM price is hovering near a crucial support zone. A technical bounce back is expected with an upswing of nearly 33%. Investors are looking for a relief rally in the token after a prolonged downfall in the price.
- ATOMprice manages to trade in green although struggles near $20.0.
- From the technical perspective, a jump toward $28.0 is on the cards as the formation of the bottoming pattern on the daily chart.
- However, a daily close below $20.0 will open the gates for further low levels.
ATOM price looks for upside sign
ATOM’s price surged 125% from the lows of $20.21 made in mid-December, to tag the swing highs of $44.80. However, this is a ‘Triple Top’ formation that resulted in a straight retracement to revisit the lows visited earlier near $20.0. A total of 56% descent was recorded during the fall in less than a month.
Currently, the ATOM price once again hovering near the reliable support placed at around $20.0. In addition to that, we expect a bullish formation, namely ‘inverted hammer’ with a condition of the next green candlestick on the daily chart above $22.0.
If that happens, the investors would next to keep eye on the horizontal resistance zone near $24.0. Further, a bounce-back toward $28.0 cannot be ruled out. A total of 33% upswing in the price is what investors looking for from the current levels.
On the contrary, a fall below the session’s low would wash out the bulls’ hope of any gains. A downside target could be located near the lows visible in early September around $17.0.
As of press time, ATOM/USD holds at $20.95, up3.20% for the day.
RSI: The relative strength index remains in the oversold zone indicating a snapback in the price.
MACD: The moving average convergence divergence hovers below the midline with a neutral bias.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.