ATOM could definitely see itself recording major gains in the next couple of weeks due to its longer timeframe chart showing a bullish pattern. The token from Cosmos has been referred to as the bull flag, as the structure appears with the asset trending lower while bouncing between two different sloping trendlines. However, it would eventually come out of the range- especially in the direction of its earlier trend, with a completely different profit target at length equal to the size of its earlier uptrend which has also been thought of as the flagpole.
In a completely perfect world, the rupture of ATOM to break above the upper trendline of the flag- especially with an increase in trading volume- it could potentially increase by the same height of the flagpole by around $35. This potentially puts the price target around $65- when measured from the current breakout point- potentially.
Nearly 64% of ATOM’s total supply is staked
ATOM’s bullish setup was quite visible with the token rising by around 330% from its low in June at $7.82 to its weekly high near $32. Circulating token scarcity could also play a major role in driving buyers into the market. According to data that was fetched by Messari, it was highlighted that almost 64% of the current supply of Cosmos was staked.
According to data that was provided, the investors of Cosmos have staked close to 180 million tokens in order to turn into the validators on its Hub- a proof-of-stake blockchain that is entirely constitutive of one of the many hubs present in the network.
Pentoshi, one of the most famous independent market analysts around, has noted that the increase in the number of staked ATOM tokens would definitely be instrumental in increasing the price upward.