ATOM/USDT SELL | S6W1 | Team Trading Contest Post for Crypto-Empires
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Hello crypto enthusiasts, this is a new week of the crypto academy and a new diversion as well, we are being required to analyze a token and carry out a real trade using the analysis we have gotten from the previous classes, I will be analyzing the COSMOS ATOM coin.
For this week, I will be joining the trading contest team of professor @abdu.navi03. here is my contest entry.
The name of the project token I will be focusing my trading on is the COSMOS ATOM coin, and I will be carrying the short position of the trade on the Binance exchange.
Source
The ATOM token assumes a vital part in keeping up with interoperability between all zones in the Cosmos organization and can be utilized for holding or used for utilities on the Cosmos network. The Cosmos network is a network that utilized a proof-of-stake consensus, and its validity is fueled by its local currency (ATOM).
In a case whereby a user purchased and stake ATOM on the network, consumers gain the capacity to decide on network redesigns, with each vote being corresponding to how many atoms they stake. The network rewards validators with ATOM in light of the number of tokens they are staking, with the delegators getting a certain level reward on an atom as well.
PS: You should note, as of now, there is no restriction on the total supply of ATOM that can be made. Instead, Cosmos changes the number of tokens made in light of the quantity of ATOM being staked at that instance.
The ATOM coin can be traded on several exchanges due to its popularity in the blockchain network, the coin is listed on exchanges such as Binance, Coinbase, KuCoin, and others. Image below.
Due to my analysis on the level of ATOM coin today, I will be launching a sell order instead of buy, the crypto market has been showing bullying lately, but at that instance as well, there are lags in some markets where one can take a measure of instead of following the crowd, one had to act according to with the strong hands.
From my analysis of support and resistance, I get to witness up and down in the Cosmos market which is why I am not so enthusiastic about buying, rather selling the coin at the breaks level.
For the analysis of the token, I will be using Binance tradingview, on my chart, I am using trendlines, to understand the market situation of the ATOM coin.
From my support and resistance line, I could understand that the market has been bouncing between the support and resistance level for a while now, so I choose to make my trade at the resistance level hoping by the time it got to the support level I had to make my profit.
I went on to my binance and execute a sell position of 5x isolated at the entry price of 28.19 USD.
[Trade details from Binance]
At the moment I execute my sell order, within some moments my PNL was showing 0.00USD meaning I am not making a loss yet, rather the market has not kicked in my favor.
Yes, I wouldn't mind holding the Cosmos ATOM coin for a particularly long period of time, the coin has been around for two years now with a value of 28USD which means the project is a very good one to hold on to.
And at some point in the future, I might be able to participate in staking ATOM on the cosmos network with the chance of getting delegating rewards in return, we can also see that this posses as a good investment as I get to earn a certain level of rewards just by delegation some certain amount of ATOM, where this looks interesting as it tends to help
users boost their earns.
Of course, I would recommend everyone to buy the ATOM coin, apart from buying to hold and expecting to make profits when it reaches a certain positive level, users can delegate and stake also.
The Number of ATOM tokens available depends on the certain level of the ATOM stakes, we can see that stakers also get to earn a large reward, we can as well participate in Holding a large amount of ATOM so users can stake and arrive at the validity and to also win block reward.
In today's article, today, have analyzed the COSMOS ATOm coin and the proper trading set up for the coin where I execute a sell trade at the point I witness the coin be depicting lows, as well I get to confirm my sell entry with the strategies of support and resistance.
cc;