$ATOM has hit our target near 3382. That level is the 23% retracement of the recent down move. If you assume $ATOM is still in a bear market, then today's 11% move should complete the corrective rally. That would leave $ATOM at the mercy of any new up move in $BTC...which we believe is coming.
The next level to watch is near 4138. If $ATOM manages to rally past that level, a confirmed bottom could be in. In Elliot Wave speak, a rally past 4138 would take $ATOM past a "previous 4th." In English, if ATOM passed 4138 it would move through the area where the potential final leg of the down move began. That could be constructive.
Bottom Line: Chasing $ATOM up 11% with the coin at resistance doesn't make much sense. If $ATOM blows through 4138, jump on. Any such move could imply that a broader crypto market rally has begun. Conversely, a failure at 3382 could signal the start of tax loss selling in the alt space.
The next level to watch is near 4138. If $ATOM manages to rally past that level, a confirmed bottom could be in. In Elliot Wave speak, a rally past 4138 would take $ATOM past a "previous 4th." In English, if ATOM passed 4138 it would move through the area where the potential final leg of the down move began. That could be constructive.
Bottom Line: Chasing $ATOM up 11% with the coin at resistance doesn't make much sense. If $ATOM blows through 4138, jump on. Any such move could imply that a broader crypto market rally has begun. Conversely, a failure at 3382 could signal the start of tax loss selling in the alt space.