Cosmos (ATOM) remains one of the few exceptions in the cryptocurrency market to trade in the green and register daily gains even as the rest of the sector experiences a downslide. At the time of writing, ATOM/USD is trading around $40.16.

Interoperability is Cosmos’s Strongest Feature

Over the past week, Cosmos has rallied by almost 30% and is already up by nearly 4% in the past 24 hours. One of the biggest strengths the blockchain network offers is its interoperability feature, which gives it more promise in the rising DeFi space and makes it an attractive option for developers to consider as a platform to support their dApps on. Some crypto experts have gone on to call Cosmos the most important cryptocurrency existing in the market at present because of this feature, expressing confidence that it could soon hit new ATHs supported by the ever growing demand for DeFi among investors.

The Cosmos ecosystem supports over 250 apps and services till date and one of the most promising projects that saw its mainnet launch towards the end of last month was Desmos – a decentralized social network which allows for developing user-centric social networks. While the concept of decentralized social networks has been gaining traction among the mainstream audience recently, what makes Desmos even more interesting is that it offers cross-chain compatibility. Focused on building a proof of identity, users who become verified on the social network will gain incentives and even earn rewards via referrals.

According to popular crypto strategist and trader Jason Pizzino, Cosmos could undergo a price consolidation between $30 and $37 in the near-term, before gathering strength to rally even higher. He is optimistic about the ATOM coin reaching new highs once the consolidation phase ends and buyers gain more confidence in the cryptocurrency.

Key Levels to Watch

Technical analysis of the H4 price chart of ATOM/USD reveals a bullish bias among most of the moving averages and the MACD. Although, the momentum indicator is pointing to some interest among sellers as well.

Cosmos’s price is holding above the pivot point at $39.76 and has the opportunity to reclaim the ATH and move to newer highs. The next resistance buyers could encounter is at $49.23, and a break past this level can take ATOM into the $50 level.