While Bitcoin and most of the crypto market reeled from a price correction following U.S. President Donald Trump’s Liberation Day tariff announcements, Cosmos’s native token ATOM stood out with nearly 10% gains on the day. The altcoin has emerged as a top gainer, backed by strong technical momentum, staking support news, and favorable on-chain data.
Market Correction Hits Crypto — But Not ATOM
The broader crypto market took a hit as Trump’s tariff policy sent shockwaves through global equity and digital asset markets. However, ATOM surged 9.8% as investors turned to projects with utility and staking opportunities.
Joe Burnett, a market analyst at Unchained, suggested that despite a turbulent market, some altcoins with solid fundamentals and growing user bases could outperform. ATOM appears to be doing just that.
Key Catalysts Behind ATOM’s Rally
Several factors are fueling ATOM’s bullish breakout:
- eToro’s Staking Integration: Social trading platform eToro added Cosmos and Polkadot to its staking options, driving a surge in investor interest.
- Increased Institutional Activity: On-chain analytics from Santiment show a spike in ATOM open interest and trading volume, particularly from whale accounts.
- Bullish Technical Indicators: ATOM holds strong above the $5 support level, with both RSI (60) and MACD signaling continued upside.
Technical Outlook: Eyes on $5.79 Resistance
According to the ATOM/USDT daily chart, ATOM is poised to test key resistance levels:
- Immediate resistance lies at $5.530, followed by the upper boundary of the Fair Value Gap (FVG) at $5.793, representing a potential 15% gain from current levels.
- If rejected, support can be found at $3.965 and $3.582—the March 10 low.
Both RSI and MACD indicators reflect underlying bullish strength, supporting the thesis of an ongoing uptrend.
On-Chain and Derivatives Signal Growing Demand
Data from Santiment shows increasing whale holdings of stablecoins and a rise in ATOM’s trading volume—both indicative of investor accumulation.
Derivatives metrics from Coinglass add further confirmation:
- Trading volume surged 180%, reaching $595.87 million.
- The long/short ratio remains above 1, suggesting that most derivatives traders are betting on higher ATOM prices.
Historically, a bullish derivatives market often precedes price surges in spot markets, strengthening the outlook for ATOM in the short-to-medium term.
One of the Week’s Top Performers
Despite a red week for most tokens, ATOM ranked among the top 7 gainers in the top 100 cryptocurrencies, according to LunarCrush. As traders regain confidence and BTC attempts a recovery, ATOM is already establishing leadership among altcoins.
Final Thoughts
With strong fundamentals, growing institutional interest, and support from trading platforms like eToro, ATOM is well-positioned for a double-digit rally in the coming days. While broader market risks remain, especially if Bitcoin faces another leg down, Cosmos’s native token is proving resilient and increasingly attractive to investors.
