Technical analysis by Sahrin about Symbol ATOM: Sell recommendation (9/16/2024)

There was a significant drop around mid-August to the beginning of September, followed by a slight consolidation period.The price is currently touching the lower band, indicating that it may be oversold or the downtrend could continue.Spikes in volume during downtrend periods, particularly in late August and mid-June, confirm the strength of the sellers at those times.Support: Around $3.6, which was tested recently and acted as a potential bottom.Resistance: Immediate resistance appears around the $5 level, which coincides with the upper Bollinger band.The proximity to the lower Bollinger band suggests bearish momentum, but a short-term bounce is possible if the price stays above key support levels.ATOM/USD is in a strong downtrend with signs of potential short-term consolidation. The price is near oversold conditions, but without a significant increase in volume and momentum, the downtrend may continue. Keep an eye on the $3.6 support level—if this breaks, further downside could follow. Conversely, a break above the $5 resistance could indicate a reversal or a short-term relief rally.