Current date: May 18, 2025.
#ATOM #USDT as of May 18, 2025.
Current price ATOM/USDT (approx.): $4.81 - $4.82 (according to CoinMarketCap and other sources at the time of search). Over the past month, an increase of approximately 15-17% has been observed.
Overview of the ATOM/USDT market (as of May 18, 2025)
According to the received information, ATOM shows signs of recovery after a prolonged period of decline or consolidation (when looking at longer timeframes after the peaks of 2021-2022). The last month shows positive dynamics. Some analysts point to a possible end of the accumulation phase.
Analysis by timeframes:
1. Daily chart (1D)
Support zones:
Nearest support: $4.50 - $4.60 (may be a local minimum or level of previous consolidation).
Stronger support: $4.00 - $4.10 (historically significant level, mentioned as a support zone in some analytical reports from previous months). According to some data (Binance Square), support at $4.01 and $3.63 (the bottom of 2024) are key.
Resistance zones:
Nearest resistance: $5.00 - $5.15 (psychological level and zone where the price faced resistance earlier; mentioned as a level of possible breakout from the accumulation zone).
Next resistance: $5.50, and then $6.20 - $6.50 (if the current upward movement continues).
Tests: The price likely recently tested the lower support levels ($4.00-$4.50) and is now attempting to break the nearest resistance around $5.00-$5.15. A successful test and consolidation above $5.15 may open the way to the next levels.
Trend:
Minor trend: Bullish (in the last few days/weeks, considering the growth over the month).
Secondary trend: May be in the phase of reversal from bearish to bullish, or may already be bullish (considering the movement from the lows of the past months). If the price consolidates above $5.15-$5.50, it will strengthen signs of a bullish secondary trend.
Market phase: Likely transitioning from the accumulation phase to the public participation phase (early stage of an upward trend), if the current momentum is confirmed.
Elliott Wave Theory:
Assuming recent lows (e.g., around $3.63-$4.00) were the end of a corrective wave (e.g., wave 2 or C), then the current upward movement may be the beginning of a new impulsive wave (wave 1 or A of a new upward cycle, or wave 3 of a smaller degree).
For example, if this is wave 3 of a smaller degree, it is usually strong and swift.
Examples of Take Profit (TP) / Stop Loss (SL) for a hypothetical long position (buy):
Entry: Assume around $4.80 (current price).
SL: $4.45 (slightly below the nearest support at $4.50).
TP1: $5.10 (before resistance at $5.15).
TP2: $5.45 (before the next resistance at $5.50).
TP3: $6.15 (if a stronger movement is expected).
2. Weekly chart (1W)
Support zones:
Key support: $3.50 - $4.00 (zone corresponding to the 2024 lows and historical accumulation levels).
Long-term support: $2.50 - $3.00 (historical lows, if current support does not hold, although this is less likely given the current dynamics).
Resistance zones:
Nearest strong resistance: $7.50 - $8.00 (important zone of previous highs/lows, targets of $7.76 are mentioned in some analyses).
Next resistance: $9.30 - $10.00 (psychological level and next target if the trend is strong).
Long-term resistance: $12.00 - $15.00 (significant levels from past cycles).
Tests: The price appears to have bounced off the long-term support/accumulation zone and is now heading towards the first significant resistance levels on the weekly chart.
Trend:
Primary trend: Was bearish for a long time (after the peaks of 2021-2022). Now there are signs of a possible reversal or at least the beginning of a prolonged secondary rally within the global bear market, or the emergence of a new primary bullish trend (if the lows were the bottom of the cycle).
Secondary trend: Bullish, considering the movement from the lows of the past few months.
Market phase: If this is the beginning of a new bullish cycle, we may be in the early stage of the 'public participation' phase or still in the 'accumulation' phase for long-term investors.
Elliott Wave Theory:
If the prolonged decline from historical highs was a large corrective structure A-B-C, then the lows near $3.50-$5.50 (depending on the exact calculation of previous years, e.g., the low near $5.54 was mentioned as a possible Wave II) could have completed this correction.
The current movement may be Wave 1 of a new major bullish cycle, followed by a corrective Wave 2 before a strong Wave 3 begins.
Some analysts (TradingView) suggest the start of a new cycle with targets of $12-$17 in the medium term (e.g., by 2026), viewing current movements as part of a larger impulsive structure.
Examples of TP/SL for a long-term long position:
Entry: Assume an average entry price of $4.50 - $5.00 (if the position was built in the accumulation zone).
SL: $3.40 (below key long-term support).
TP1: $7.40 (before resistance at $7.50-$8.00).
TP2: $9.00 - $9.80.
TP3: $12.00 - $14.50 (long-term targets).
3. Monthly chart (1M)
Support zones:
Key long-term support: $3.50 - $5.50 (zone where the price found support and formed a base for a long time after a significant drop from historical highs around $44).
Absolute lows (historical): About $1.08 - $1.13 (March 2020).
Resistance zones:
First significant resistance: $10.00 (psychological and historical level).
Next strong resistances: $15.00, $20.00, and further to historical highs near $44.
Tests: The monthly chart shows prolonged consolidation after the bear market of 2022-2023. The current month (May 2025) shows positive dynamics, indicating a possible attempt to exit from this long-term accumulation zone.
Trend:
Primary trend: Was clearly bearish. Now there are signs that this primary bearish trend may have ended, and the market is in an accumulation phase that potentially transitions into a new primary bullish trend. This will require prolonged confirmation (breaking significant resistance levels, forming higher highs and lows on a long-term basis).
Market phase: Accumulation / Early stage of a new bullish market.
Elliott Wave Theory:
If the entire cycle from the historical minimum to the historical maximum (~$44) was a large 5-wave structure (Major Wave I or Supercyclical Wave I), then the subsequent prolonged decline was Major Wave II (or Supercyclical Wave II). Such corrections are often deep and prolonged.
If this Major Wave II ended in the $3.50-$5.50 zone, then a new Major Wave III (or Supercyclical Wave III) may now be beginning, which is usually the most powerful and longest in a bullish cycle. Long-term forecasts from some analysts indicate significant growth potential (e.g., up to $45-$46 by 2028).
Long-term benchmarks (not TP/SL in the classical sense, but potential cycle targets):
If a new major bullish cycle begins, targets may be significantly higher than current levels, potentially exceeding previous historical highs in the long term (years).
General recommendations for TP/SL:
Stop-loss (SL): Always set a stop-loss to limit potential losses. Place it below logical levels (e.g., below the previous low, below support level, below trend line).
Take Profit (TP): Define targets for profit-taking. These can be resistance levels, Fibonacci extensions, or simply a fixed risk-to-reward ratio (e.g., 1:2, 1:3).
Dynamic management: Consider moving the stop-loss to the break-even zone or using a trailing stop as the price moves in your direction.
P.S/ this article is not financial advice, created solely for review purposes.
