How is the crypto market progressing and, more specifically, how are the prices of the Cosmos (ATOM), Internet Computer (ICP) and Cardano (ADA) coins performing? Below is an overview regarding all the latest developments.
Crypto analysis of Cosmos (ATOM), Internet Computer (ICP) and Cardano (ADA)
It is worth recalling that Cosmos (ATOM) is a cryptocurrency that powers an ecosystem of blockchains created for the purpose of being scalable and interoperable with each other. Specifically, the goal of the team behind the project is to create the internet of blockchains, that is, a network of platforms that can communicate with each other in a decentralized manner.
Internet Computer Protocol (ICP), on the other hand, provides a fast and efficient blockchain to enable decentralized Web3 services. ICP is Internet Computer’s token utility for facilitating governance and rewarding network participants.
Finally, Cardano, whose native crypto is ADA, is an open source cryptocurrency project that aims to build a public blockchain platform for smart contract management.
Possible growing buying pressure for ATOM: comparison with crypto assets ICP and Cardano (ADA)
Recently, ATOM‘s price has fallen to a key support level of $10.58, a level that could offer an ideal buying opportunity if ATOM’s bulls defend support.
Notably, ATOM corrected 18% after facing price rejection at $1.94 as sellers dominated the market. On the other hand, Bitcoin‘s (BTC) sharp correction put altcoin holders in a delicate situation as most of the gains made in the first half of April were erased.
In fact, ATOM rose 12% to $13, only to fall to March lows of $10.6 after BTC’s correction.
Looking at the chart, we see that the stochastic RSI has fallen into the oversold zone, suggesting that sellers may soon take a break.
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Similarly, the RSI was rejected at 40 points at the moment, indicating likely increasing buying pressure. In addition, the ADX (Average Directional Index) moved slightly upward, underscoring that there may be likely to be a recovery.
In such a case, ATOM could rebound from $10.58 and target the local bid area of $13, if bullish traders can overcome the dynamic resistance hurdles at 50-EMA and 200-MA.
However, a daily close below $10.58 could invalidate the bullish thesis above. In fact, a bearish trend could lead ATOM to more aggressive selling and plunge the asset to the January lows of $9.45 or the December low of $8.56. It is worth noting that these levels can serve as short sale targets in a downtrend scenario mentioned above.
Internet Computer (ICP) and Carbon Crowd partnership brings crypto to the upside
In recent days, the price of ICP has sustained its upward trend. Specifically, the token rose to its highest price of $7 since February 22 this year, hence sustaining a 9.36% increase in 24 hours.
As anticipated, Internet Computer is one of the few blockchains that is fast and indefinitely scalable. In fact, together with Bitcoin and Ethereum, it represents the third major blockchain innovation.
Moreover, in recent days, Internet Computer (ICP) has appeared in several major ecosystem stocks. Launching a Proof of Green (PoG) effort, the non-profit Blockchain Foundation has partnered with Carbon Crowd.
The PoG effort aims to increase transparency and reduce greenwashing in the blockchain industry by standardizing the way blockchain networks report their carbon emissions.
The Internet Computer (ICP) network development team, the Dfinity Foundation, also revealed the launch of “chain-key Bitcoin” or “ckBTC,” a native ICP token. Not only that, another important development in blockchain interoperability is the ICP-based Bitcoin derivative.
Which means that instead of using a custodian or bridge, the ckBTC system uses containers, which work with a smart contract. Basically, a person must deposit BTC in exchange for the ICP token to receive ckBTC, and withdrawals work the same way when ckBTC is exchanged for real Bitcoin.
The price of Cardano (ADA) is also down: what could happen?
After a decent rise, the price of Cardano (ADA) encountered resistance near the $0.460 area. Hence, the price experienced increased selling pressure and began a new decline below $0.420, similar to what happened to Bitcoin and Ethereum.
This means that there was an obvious move below the $0.40 support zone. In addition, there was also a break below a key bullish trend line with support near $0.4150 on the four-hour chart of the ADA/USD pair.
The pair even tested the $0.380 support zone. Thus, a low was formed near $0.3803 and the price is now consolidating losses. In fact, Cardano (ADA) is trading below $0.400 and the 100 (4-hour) simple moving average.
On the upside, immediate resistance is near the $0.400 area, close to Fib’s 23.6% retracement level of the main decline from the swing high of $0.4616 to the low of $0.3803.
Finally, the next major resistance is expected to be forming near the $0.410 area or the 100 (4-hour) simple moving average. If an upward break above the $0.400 and $0.410 resistance levels occurs, the price could begin a decent rise.
In this case, price could rise steadily toward the $0.41 level or the 50% Fib retracement level of the main decline from the swing high of $0.4616 to the low of $0.3803. The next key resistance could be $0.432.
Source: https://en.cryptonomist.ch/2023/04/24/crypto-analysis-atom-icp-cardano-ada/