#Crypto2023 #dyor #atom #Cosmos #binance
Consider the Cosmos (Atom) project.
One of the key aspects of the Cosmos project is the ability to transfer tokens and data between different blockchains. Traditional blockchains do not have this feature. Cosmos solves this problem with its IBC (Inter-Blockchain Communication Protocol). Thanks to IBC, blockchains can communicate with each other and transfer data and tokens seamlessly.
Another interesting feature of Cosmos is the voting system, which allows token holders to make decisions and influence the further development of the network. This makes Cosmos a completely decentralized network where governance is taken by the community.
To ensure the security and integrity of transactions, Cosmos uses the Proof of Stake (PoS) consensus algorithm, which allows network participants to stake their tokens and vote on new blocks. This reduces energy costs compared to the Proof of Work (PoW) algorithm used in Bitcoin, which requires significant computing power and energy consumption.
Based on the Tendermint interface, Cosmos allows the creation of multiple interoperable blockchains that can exchange data and Internet Protocol-based tokens. This is a fundamental advantage of Cosmos over monolithic blockchains, which have limited functionality and cannot easily integrate with other systems.
In addition, Cosmos has its own token - ATOM, which is used as a means of payment and voting when accepting new participants into the ecosystem. Currently, Cosmos is already used in several projects, including Binance Chain, IRISnet and Kava.
Regarding developers, Cosmos has a team of experienced developers, including Jame Izaguirre, the creator of Ethereum, and other experts in the field of blockchain technology and cryptography.
Regarding funding, Cosmos attracted the attention of large funds such as Polychain Capital and Paradigm, which invested in the project. It also has partnerships with other blockchain platforms including Ethereum and Tendermint.
Tokenomics:
Capitalization - $3.64 Bn (CoinMarketCap)
NEXT - $44.69
ATL - $1,130
ATOM was first sold out at the ICO in 2017 and raised about 17.3 million USD within half an hour.
(The team working to improve the project kept 50 million coins for themselves.)
Initial ATOM distribution:
75% â private and public sale;
10% â Interchain Foundation;
10% â All In Bits Inc.;
5% â to primary investors.
Advantages and disadvantages:
Cosmos advantages:
- scalability;
- convenience;
- compatibility;
- democratic system for selecting validators;
Disadvantages of Cosmos:
- a large number of competitors;
- the full functionality of the cryptocurrency is revealed when connecting several third-party projects.
The technical side of the issue.
The coin is trading at a discount of -77% from its ATH.
Globally, the coin has been in accumulation for more than a year and until recently was traded within an equilateral triangle. Recently, contrary to expectations, the triangle was broken downwards, the most powerful upward support did not resist and the price slowly but surely rushed towards the nearest support in the range of $10.7-10. Locally, a descending wedge has formed on the chart and the price is at the intersection of the lower border of the wedge and the lower border of the support zone.
If it werenât for todayâs SEC lawsuit against Binance, which immediately collapsed the market, and not for the SECâs statement that Atom is a security, the priority option would be to grow the coin from current values ââ+ in addition, there is a pronounced bullish divergence on the daily timeframe. Due to the unstable news background, we will consider two alternative scenarios:
1st option
If Binance manages to fight back and CZ once again shows the number â4â, that all this is nothing more than FUD, then the priority option will be to exit the descending wedge in the upward direction and test the lower border of the broken triangle, which, taking into account the TF, will be exactly in the area of ââthe nearest resistance zone of $11.5-12.3.
2nd option
If the panic sale continues and the situation does not improve, the priority option will be to break down the wedge and go to the most powerful and global support in the range of $8.5-9.
Given the tension in the news background, at the moment the second option is more likely.
This analysis is not financial advice or a call to action; always conduct your own analysis and research. Happy trading everyone and may the profit be with you!)
