atom

Cosmos (ATOM) continues to demonstrate strong bullish momentum after successfully breaking out and retesting its trendline in recent days. The token has surged to the $2.65 region — its highest level since November — reinforcing growing optimism across the market.
At the time of writing, ATOM is trading around $2.64, up 8.2% over the past 24 hours and nearly 19% on the weekly timeframe. This price surge is supported by a 20% spike in trading volume, while market capitalization has also increased by 8.2%, signaling rising participation and stronger network activity.
On-Chain Activity Signals Growing Adoption
Cosmos experienced a sharp decline in network usage during Q4 2025, with on-chain activity nearly “freezing.”
The number of active addresses collapsed from around 60,000 to fewer than 1,000, reflecting a major drop in user demand and engagement.
However, the picture has improved significantly in 2026.
Active users doubled from 4,000 to 8,000
Total addresses expanded to 3.5 million
Daily transactions jumped from 13,000 to 30,000
Cumulative transactions reached 86.9 million
When both address count and transaction volume rise simultaneously, it typically indicates sustainable network adoption.
Notably, this growth appears organic and not driven by a small number of large wallets, suggesting that Cosmos’ fundamentals are strengthening.
In the long run, this type of real usage demand often provides solid price support for the ATOM token.
Strong Market-Wide Demand for ATOM
As the broader crypto market enters a recovery phase, bulls have regained control and are defending higher price levels across both spot and futures markets.
According to Coinalyze data:
Buy volume: $4.2 million
Sell volume: $3.9 million
Buy-Sell Delta: +$300,000
This positive delta confirms strong accumulation in the spot market. Historically, sustained spot demand often acts as a catalyst for rapid price appreciation as available supply tightens.
On the futures side:
Open Interest (OI) increased 10% to $183 million
Derivatives trading volume surged 27% to $220 million
Capital inflows reached $53.09 million, while outflows dropped to $49.04 million
Net futures inflow jumped 475.9% to $4.05 million
This combination suggests rising participation and significant capital entering the market.
However, most traders still favor short positions, as the Long/Short ratio remains below 1 — indicating caution and expectations of possible short-term pullbacks.
Can ATOM Sustain Its Rally?
ATOM is currently showing a strong bullish structure, supported by rising demand in both spot and futures markets, as well as improving on-chain fundamentals.
From a technical perspective:
Price has broken above EMA 20 and EMA 50, confirming bullish momentum
RSI has climbed to 70, signaling strong buying pressure
If market demand remains stable, ATOM could test the EMA 100 near $2.70, opening the path toward the long-term resistance zone at $3.30.
In a less favorable scenario, weakening momentum could lead to a pullback toward the $2.20 support zone.
Final Thoughts
Cosmos is showing clear signs of renewed strength, driven by improving network activity, rising investor demand, and bullish technical indicators. While short-term volatility remains possible, the broader trend suggests that ATOM is regaining market confidence.
Disclaimer
This article is for informational purposes only and does not constitute financial or investment advice. Cryptocurrency markets are highly volatile. Always conduct your own research before making any investment decisions. The author is not responsible for any financial losses.
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