■ Cosmos price remains above a crucial supply barrier extending from $6.161 to $8.966 with the potential for more gains.
■ ATOM could climb 10% to tag the $10.218 resistance level, steered by bullish indicators and bullish speculation.
■ Invalidation of the bullish outlook will occur once the cryptocurrency breaks and closes below the $8.545 critical support.
Cosmos (ATOM) price is trading with a bullish bias despite a rejection from the $10.218 resistance level. The optimism comes on the back of chatter of a possible fork, expected to result in an airdrop, an outcome that would be effectively bullish for Cosmos Hub.
Cosmos price remains bullish with a possible fork in sight
Cosmos (ATOM) price is broadly bullish after the network’s founder, Jae Kwon, declared plans to fork Cosmos Hub and build a new chain Atom.
With this optimism, Cosmos price could move north, with the Relative Strength Index (RSI) deviating toward the north to show momentum is rising. Its position at 55 points to strong price strength, bolstered by the Awesome Oscillator (AO) in positive territory.
Increased buying pressure could see Cosmos price extend north, clearing the $10.218 resistance level, before an extended move north to tag the $10.803 resistance level. A break and close above this level would mark the completion of the recovery rally and potentially kick-start an uptrend.
ATOM/USDT 1-day chart, Source: TradingView.
On the other hand, if selling pressure increases, Cosmos price could drop into the supply zone that now acts as a bullish breaker stretching from $8.161 to 8.966. To confirm the downtrend, however, the price must break and close below the midline of this order block at $8.545.
Such a move could set ATOM on the path for a continuation of the trend. Cosmos price would likely then tag the $8.027 range low.
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