ATOM Surges 5% Before Forming Bearish Head-and-Shoulders Pattern

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coindesk
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1 day ago


Geopolitical tensions and evolving trade policies continue to shape cryptocurrency markets as stablecoin giant Circle prepares for its landmark NYSE listing. \

The company behind USDC has increased both share count and price range, signaling strong institutional confidence in the stablecoin sector despite ongoing regulatory uncertainty.

Meanwhile, industry associations have issued a joint statement urging lawmakers to maintain focus on creating comprehensive stablecoin oversight without getting sidetracked by peripheral issues.

ATOM has showed mixed signals to the news, rising by 5% before forming a bearish pattern known as a head-and-shoulders pattern.

Technical Analysis Highlights

  • ATOM-USD demonstrated significant bullish momentum over 24 hours, surging from $4.307 to $4.532, representing a 5.22% range.
  • Price action formed a clear uptrend with higher lows and higher highs between 20:00-01:00, breaking through key resistance at $4.42 with above-average volume (689K-1055K).
  • Strong support established at $4.43-$4.44 following the breakout.
  • In the last hour, ATOM-USD formed a head-and-shoulders pattern with decreasing volume on rebounds, suggesting weakening bullish momentum.
  • Support at $4.44 was tested multiple times but ultimately failed to hold, indicating potential further downside if bearish momentum continues.

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