This is a a 2nd repost and here is the original link, Here is the 1st repost link

I wish to invite @steemcurator02 to do something about it

Image source

Hi all,

It's a pleasure to submit my 4th entry for the trading contest this week as I will be using this opportunity to analysing the ATOM/USDT pair and then perform a sell short order. I have decided to continue with the Team-Investors team which is led by @pelon53 and @imagen for the trading competition this week

1. The name and introduction of the project token, and which exchange can be traded on, project/technical/team background, etc.

Today, I will be studying the Cosmos ATOM which i will be carrying out both fundamental and technical analysis in other to predict the movement of the $ATOM

Introduction To Cosmos ATOM Project

Cosmos ATOM was found 8years ago in 2014 by Jae Kwon, Ethan Buchman and Zarko Milosevic with Jae Kwon the main contributor to this project but had to stepp down as one of the CEO 2 years ago in 2020 which Peng Zhong had to replace him as CEO of tendermint. The main aim of this project is to enable the technology of blockchain to be less complex to users by demystifying a decentralized application system

This project have gone a long way to solve some major blockchain problems by offering remedies to proof-of-work such as unscalable, slow, harmful environment and expensiveness which can be solve in other to be able to connect different Blockchains in an ecosystem

Once again this project is aimed at creating different Blockchains of network system that can be able to communicate and interact with each other since the cosmos network is made up of proof-of-state customize Blockchain zones and mainnet Blockchains. The zones of this Blockchain was created via a SDK cosmos system which enables the basic need for the cosmos Blockchain development.

Source

The Cosmos Hub mainnet was created at the top set of nodes ATOM staking so that it can pick 100 validators from the Blockchain coin utility and the $ATOM is Usually use to pay all the transaction fees which also take part in the votes of the governance

The native token in the cosmos network system is $ATOM and it has three main uses such as participating in the cosmos Hub's governance, Users pay their transactions fees which is the $ATOM and the $ATOM token is usually stake behind the validators which is use as a reward in participating in algorithm consensus. So we also see that this Cosmos have three different layers which are Consensus, Network and Application

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Cosmos ATOM Exchanges

Screenshot from coinmarketcap.com

Cosmos ATOM is a popular token because of how it rise to it's ATH 5 months ago and It is traded in several exchanges such as Binance, Gate.io, Kucoin, FTX, Houbit and so many other exchanges. I have listed just a few as seen in the screenshot above

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Screenshot from coinmarketcap.com

Looking at the screenshot above, we can see that $ATOM is ranked #20 with a total supply of 286,370,297.00 ATOM, a market cap of $9,331,178,403 and a total volume of $1,479,004,641

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Screenshot from coinmarketcap.com

From the screenshot above, we can see that this $ATOM hit an all time high of $44.7 on Sep 20, 2021 which is just 5 months ago. Its time low $1.13 which happened 2-years ago on Mar 13, 2020. We can see that this coin is extremely doing well because despite the fall in most major coins, this $ATOM price was not affected except of recent.

It is also great that despite the dip in most major coins, this $ATOM still manage to hit it's all time high 5-months ago

2. Why are you optimistic on this token today, and how long do you think it can rise?

I was so bearish about the price of $ATOM because of how the chart was looking like as the price initial had a bull run to a particular resistance before beggining to start falling again which I then saw an opportunity to enter a Sell-Short order

Screenshots taken from tradingview.com

Looking at 15-min ATOM/USDT Chart above, you can see why I decided to place a sell trade today because of how optimistic the $ATOM is dipping. As the price was dipping, I carried out analysis and saw that it could continue dipping until it reaches a support level which I had to place a sell order by taking advantage of the dip in price.

3. How to analyze the token? (Using the analysis knowledge learned from professors’ courses

Sell-Short On ATOM/USDT pair

In this section, I will best use my knowledge which I learned from my professors in the steemit crypto academy to carry out technical analysis using tradingview.com official website then Perform my sell short order in my verified Binance account by doing future trade since I'm familiar with the trading system. But I will be using the Heikin chart so that it can be able to shifter out noise from the candles

Since I'm a scalp trader, I have decided to use 5-Min chart. I will start by Identifying the major support and resistance in the chart then after that I see if there is crossing over of both MA and EMA* from above the price. I will also have to confirm from the Ichimoku cloud if there are red cloud forming from above the price which I can confirm that it's a buy signal

Screenshots taken from tradingview.com

From the screenshot above, you can see i successfully Identified all my major support and resistance levels. I also witness red clouds forming from above the price at thesame time both MA and EMA crosses each other from above hence telling me it's good position to take buy entry

Screenshots taken from tradingview.com

I will then mark my stoploss level at the nearest resistance and takeprofit level at the nearest supports then take a short position by choosing a leverage of 10X

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I then entered my Binance account and executed my sell order by choosing future trading. My entry was at 32.718 with my 1st takeprofit at 32.050, 2nd takeprofit at 31.520 and my stoploss at 33.440. My Risk to reward ratio was R:R = 1:2 as seen from the screenshot below

Screenshot from Binance

I waited patiently for about an 2-hours then started experiencing progress as my trade hit it's 1st target then I took home a profit of $0.12635 as seen in the screenshot below

Screenshots taken from tradingview.com

The screenshot above indicate that my 1st takeprofit have been achieved.

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I still waited again for about 15-Mins then started experiencing price reversal, so I decided to close my trade at that position and took home a profit of $0.180090 which is not bad at all

Screenshot taken from tradingview.com

The screenshot above shows my closing position

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Screenshot from Binance

The screenshot above shows my liquidation level with my entry and leverage position

So my total takeprofit for this trade was $0.30644

4. Your plan to hold it for a long time or when to sell?

I never intended to hold this token for long since I was doing scalp trading because emmidiately my trade hit it's target, I had to exit the market. But In a the nearest future I can do long term if I have enough capital because I see this project with a clear roadmap

5. Do you recommend everyone to buy and the reasons for recommending/not recommending?

We can see how this token hit it's all time high of $44.70 last year Sep 20th which is 5months ago despite the downfall of most major coins hence enabling telling us that this Cosmos ATOM have a prominent future which will be an advantage for long term holders to buy and hold this token. Which also see how large it's market cap had increased which tells us that this token is Indeed recommended to buy and hold

But for short term or intraday traders, I will always advice you to enter the market at all moment then look for good opportunities just like I did today as I saw a good opportunity to place a sell short which I took home some profits

When entering the market, it is always good to do your own research and carry out good technical analysis either with the use of the indicators or price action. I say this because it's not always advisable to recommend a trader for intraday trading because of how volatile the market is always, so it's good every trader carry out proper technical and fundamental analysis before entering the market

6. Other Information About The Polygon MATIC) token

THE FUTURE OF COSMOS

I can say cosmos has a very bright and promising future according to it's roadmap because both the cosmos and the gravity of Ethereum usually bridge out in other to transfer $ETH, $ATOM, ERC-20 and other tokens that is found within the cosmos Hub's between the compatible of cosmos chains and the Ethereum which is expected to happen in the first quarter of this year which will happen soon become it will be upgraded and may lead to rise of this token again to it's new all time high.

An NFT will also be upgraded so as to ensure that the management system of liquid staking, interchain accounts and NFTs to be able to manage and control accounts across different Blockchain system

Conclusion

After carrying out a technical analysis, I placed a Sell-Short position because of how bearish the market was at the time. I'm very happy because I was successful at the end by coming out with a total profit of $0.30644 which is not bad

CC
@pelon53
@imagen