Why did the price of ATOM go up?
Cosmos (ATOM) increased by 4.75% in the last 24 hours, outperforming the overall crypto market, which rose by 0.92%. This gain continues a strong one-week rally of 24.65%, though the price remains volatile over the longer term, down 33% in the past 90 days. The main factors behind this movement are:
- Network Upgrade Momentum – The upcoming v25.2.0 upgrade (set for November 10) aims to improve how Cosmos connects with other blockchains, especially Ethereum, and boost liquidity across networks.
- Exchange Support – Major exchanges like Bybit, Upbit, and Bithumb temporarily paused ATOM deposits and withdrawals before the upgrade, reducing available supply.
- Technical Breakout – ATOM’s price surpassed a key resistance level at $3.07, with technical indicators like MACD showing bullish signs and RSI indicating room for further gains.
Deep Dive
1. Network Upgrade Drives Demand (Positive Outlook)
What’s happening:
The v25.2.0 upgrade, scheduled for November 10, focuses on making it easier to move assets between different blockchains and improving the efficiency of Cosmos’s Inter-Blockchain Communication (IBC) system. Supported by a $300 million treasury fund, this upgrade aims to make Cosmos Hub a central hub for liquidity routing.
Why it matters:
- Better interoperability could attract projects built on Ethereum, increasing ATOM’s usefulness as a platform for settling transactions.
- By suspending deposits and withdrawals before the upgrade, exchanges like Upbit and Bithumb temporarily limited the supply of ATOM available for trading, which can support prices.
- Previous upgrades have led to higher rewards for those staking ATOM, encouraging holders to keep their tokens locked up.
What to watch:
- The volume of IBC transactions and activity on the Ethereum bridge after the upgrade will be key indicators of success.
2. Strategic Ecosystem Growth (Mixed Effects)
What’s happening:
Cosmos Labs recently announced plans to grow its developer team, improve incentives for validators (who help secure the network), and update ATOM’s tokenomics, including staking rewards and inflation rates.
Why it matters:
- In the short term, discussions about tokenomics changes often reduce selling pressure as the community waits for proposals.
- However, ongoing inflation rates between 7% and 20% annually could be a concern if not addressed, as they may dilute the value of existing tokens.
- Staking remains attractive, with platforms like Bitpanda offering 14–16% annual returns, encouraging users to lock up their ATOM and support price stability.
3. Technical Breakout Signals Momentum (Positive Outlook)
What’s happening:
ATOM’s price recently rose above its 7-day simple moving average ($2.84) and a key pivot point at $3.07. The MACD indicator turned positive (+0.0539) for the first time since October 2025, signaling growing bullish momentum.
Why it matters:
- The recent rally cleared the 38.2% Fibonacci retracement level at $3.16, with the next target around $3.35 (23.6% retracement).
- The Relative Strength Index (RSI) is neutral at 49.73, suggesting there’s room for more upside, but the 200-day moving average at $4.24 remains a significant resistance level about 35% higher than current prices.
Conclusion
ATOM’s recent price jump reflects positive sentiment around its upcoming cross-chain upgrade, planned tokenomics changes, and strong technical signals. However, the token is still 92% below its all-time high, showing ongoing challenges like inflation and a fragmented ecosystem. Key point to watch: Will ATOM maintain its position above $3.07 after the upgrade, or will traders take profits and push prices down?
What could affect the price of ATOM?
ATOM is facing a mix of technical improvements and significant challenges.
- Tokenomics Issues – High inflation (7–20%) and unclear ways for the token to gain value are putting downward pressure on prices.
- v25.2.0 Upgrade – A major update on November 10 aims to improve cross-chain features, which could increase usefulness if widely adopted.
- Regulatory Risks – An ongoing SEC lawsuit threatens to get ATOM removed from U.S. exchanges, according to forum discussions.
In-Depth Look
1. Inflation & Value Growth (Mixed to Negative Impact)
What’s happening:
ATOM’s annual inflation rate is between 7% and 20%, which is higher than the growth in how much the token is actually used. This means people who stake ATOM earn rewards mostly through new tokens being created, not from fees generated by the network. There are proposals to lower inflation to around 2–4%, similar to Ethereum’s rate, but these changes need approval from the community and could take time.
Why it matters:
If inflation isn’t reduced, ATOM might continue to lose value because more tokens are created than are being used or demanded. Fixing this could help stabilize the price by lowering the pressure to sell and attracting investors who look for steady returns.
2. Cross-Chain Upgrade (Positive Impact)
What’s happening:
On November 10, ATOM will receive the v25.2.0 upgrade, which focuses on better compatibility with Ethereum and improving the Inter-Blockchain Communication (IBC) protocol. This upgrade is supported by a $300 million treasury fund. Some exchanges like Bybit and Bithumb are temporarily pausing deposits and withdrawals to prepare for this update.
Why it matters:
Better connection with Ethereum could bring in more developers and liquidity (money flowing into the network). However, ATOM’s price will depend on whether this upgrade leads to more fees and revenue for ATOM holders or just benefits the wider Cosmos ecosystem.
3. Regulatory and Competition Challenges (Negative Impact)
What’s happening:
The U.S. Securities and Exchange Commission (SEC) is suing, claiming ATOM is a security, which could lead to U.S. exchanges removing it from their platforms. At the same time, competing projects like Celestia and Noble are surpassing Cosmos Hub in transaction volume using IBC.
Why it matters:
If ATOM gets delisted in the U.S., it could face a liquidity crunch, making it harder to buy or sell. Also, losing its position as the main hub for IBC transactions weakens its role as the “internet of blockchains.”
Conclusion
ATOM’s future depends on successfully updating its tokenomics and proving its value after the November 10 upgrade. While technical improvements might cause short-term price increases, long-term growth requires addressing high inflation and regulatory risks. Will the November 10 upgrade be a turning point, or will ATOM continue to struggle within its own ecosystem? Keep an eye on staking activity and developments in the SEC lawsuit.
What are people saying about ATOM?
Conversations around Cosmos (ATOM) swing between excitement over potential price gains and concerns about inflation. Here’s what’s trending:
- Technical analysts predict a possible 30% price increase as ATOM holds steady near important price points.
- A new roadmap aims to boost ecosystem growth by adjusting token economics and offering incentives to network validators.
- High inflation from staking rewards raises worries about long-term pressure on ATOM’s price.
- The ATONE airdrop frenzy highlights changing reward systems within the Cosmos ecosystem.
Deep Dive
1. @ali_charts: Triangle consolidation signals potential price jump bullish
"Cosmos $ATOM triangle consolidation nearly at the apex. Watch for a 30% move!"
– @ali_charts (162K followers · 7.6M impressions · August 30, 2025, 03:08 UTC)
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What this means: This chart pattern suggests ATOM’s price could make a significant move soon. The direction depends on whether buyers or sellers take control when the price breaks out of its current range.
2. @khanh1007air: Cosmos Labs’ roadmap targets tokenomics mixed
The new plan focuses on expanding the network hub, reforming delegation rules, and reducing inflation: "Could push $ATOM to $15-20 by 2026 if successful."
– @khanh1007air (1.7K followers · 122K impressions · October 30, 2025, 23:00 UTC)
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What this means: These changes aim to fix ATOM’s ongoing struggles with price performance, but some remain skeptical about how quickly these improvements can be made in a competitive blockchain environment.
3. @0xDaniBi: Inflation model critique gains attention bearish
The analysis points out that 10% yearly inflation combined with staker selling has created "$1.87B cumulative sell pressure since 2021," suggesting ATOM’s fair value should be $7-$11 instead of the current $3.10.
– @0xDaniBi (763 followers · 11K impressions · October 15, 2025, 16:55 UTC)
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What this means: This critique resonates with long-term holders frustrated by ATOM’s 90% drop from its all-time high, putting pressure on developers to rethink tokenomics.
4. @berrycrypt: ATONE airdrop excitement bullish
"$ATONE surges 35x in one week – only available to ATOM stakers on Osmosis DEX."
– @berrycrypt (46K followers · 4.1M impressions · October 1, 2025, 19:27 UTC)
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What this means: This highlights Cosmos’ culture of rewarding users through airdrops, but also shows the ecosystem’s dependence on these incentives to keep users engaged as organic growth slows.
Conclusion
The outlook for Cosmos (ATOM) is mixed. Positive technical signals and planned ecosystem upgrades face challenges from inflation concerns and reliance on airdrop incentives. While the tokenomics overhaul could solve some underlying problems, ATOM’s price will likely continue to be influenced by overall crypto market trends and competition from other blockchain networks. Keep an eye on validator participation after the roadmap rollout as a key indicator of network health.
What is the latest news about ATOM?
Cosmos (ATOM) is moving forward with important upgrades and strategic changes, balancing technical improvements with some market uncertainty. Here’s a quick summary of the latest news:
- Network Upgrade Support (November 10, 2025) – Bybit paused ATOM deposits and withdrawals to support the v25.2.0 upgrade.
- Exchange Suspensions (November 10, 2025) – Bithumb and Upbit temporarily stopped ATOM deposits and withdrawals during maintenance.
- Tokenomics Revamp (October 30, 2025) – Cosmos Labs announced plans to improve ATOM’s economic model to make it more efficient.
Deep Dive
1. Network Upgrade Support (November 10, 2025)
What happened:
Bybit, a major crypto exchange, temporarily stopped ATOM deposits and withdrawals to help implement the Cosmos v25.2.0 upgrade. This update focuses on making it easier for Cosmos to connect with other blockchains, including Ethereum, by improving cross-chain compatibility. Supported by a $300 million treasury fund, the upgrade aims to increase liquidity (how easily assets can be traded) and make network validators more efficient.
Why it matters:
This upgrade is a positive sign for ATOM because it strengthens Cosmos Hub’s role as a key player in connecting different blockchain networks. This could attract more developers and institutional investors. Better cross-chain features may also increase demand for staking ATOM, which currently offers an annual percentage rate (APR) of about 16.34%. (CoinMarketCap)
2. Exchange Suspensions (November 10, 2025)
What happened:
Two major exchanges, Bithumb and Upbit, temporarily paused ATOM deposits and withdrawals starting November 10 to maintain network stability during the upgrade. However, trading of ATOM was not affected.
Why it matters:
These pauses are standard practice during big upgrades and show that exchanges are cautious to protect users and the network. While this may temporarily reduce liquidity for everyday traders, it also shows confidence in Cosmos’ long-term plans. (CoinMarketCap)
3. Tokenomics Revamp (October 30, 2025)
What happened:
Cosmos Labs revealed a plan to grow its Hub team, activate a tool called Tokenfactory to improve network performance, and change ATOM’s tokenomics (the economic model behind the token) through community voting. The goal is to lower inflation, which currently ranges from 7% to 20%, and create a more balanced supply and demand.
Why it matters:
This update is generally positive because it addresses concerns about ATOM’s inflation rate, which some investors have criticized. If successful, these changes could boost confidence among those staking ATOM and help stabilize its price. However, there are risks involved in making these changes. (Binance Square)
Conclusion
Cosmos is focusing on improving how its network connects with others and rewarding those who help secure it. The recent upgrades and tokenomics changes show the project is maturing. Still, temporary exchange suspensions remind us that technical updates can impact the ecosystem. Will ATOM’s push for better cross-chain features help it overcome broader economic challenges in 2026?
What is expected in the development of ATOM?
Cosmos (ATOM) is moving forward with important upgrades to its network, token system, and ability to connect with other blockchains.
- Network Upgrade (November 10, 2025) – Improves security and speeds up transactions.
- Tokenfactory Launch (Q4 2025) – Lets users create custom tokens on the Cosmos Hub.
- Delegation Program Update (Q1 2026) – Encourages stable participation from network validators.
- IBC Integrations (2026) – Connects Cosmos with Solana, Ethereum Layer 2s, and Bitcoin.
- ATOM Tokenomics Redesign (2026) – Aims to reduce inflation and increase token usefulness.
Deep Dive
1. Network Upgrade (November 10, 2025)
Overview: Upbit, a major exchange, will pause ATOM deposits and withdrawals on November 10 to support a key Cosmos Hub upgrade. This update strengthens security, speeds up transactions, and fixes bugs to make the network more reliable.
What this means: This is good news for ATOM because it helps the network handle more users and builds trust. However, there might be short-term limits on trading during the upgrade.
2. Tokenfactory Launch (Q4 2025)
Overview: Cosmos Labs is introducing Tokenfactory, a tool that allows users to create and manage their own tokens on the Cosmos Hub. This upgrade also improves the underlying technology, aiming for over 10,000 transactions per second while using less energy.
What this means: This is somewhat positive because it opens up new possibilities for businesses and developers. Success depends on how many projects decide to use these new tools.
3. Delegation Program Update (Q1 2026)
Overview: Cosmos is changing how it manages validator participation to reduce risks from too much control by a few validators. The update will reward long-term validators and introduce penalties for those who switch validators too often. It will also fund community projects through proposals.
What this means: This is good for network security and fairness but could discourage some validators if rewards change too quickly.
4. IBC Integrations (2026)
Overview: Cosmos plans to connect with other blockchains like Solana, Ethereum Layer 2s (such as Base), and Bitcoin through Inter-Blockchain Communication (IBC). This will allow assets to move between chains and enable decentralized finance (DeFi) applications to work across networks.
What this means: This strengthens ATOM’s role as a hub for liquidity but faces competition from other projects like Polkadot and LayerZero. The key will be making these connections easy to use.
5. ATOM Tokenomics Redesign (2026)
Overview: The community will review ATOM’s inflation rate (currently between 7% and 20% per year), staking rewards, and token burning methods. The goal is to better balance supply and demand, inspired by successful models like Curve’s veCRV.
What this means: This could be very positive if inflation is lowered and deflationary features are added. However, discussions might take time before changes happen.
Conclusion
Cosmos is focusing on improving both its technology (with Tokenfactory and IBC) and its economic model (through tokenomics and delegation changes) to strengthen its position as a leader in blockchain interoperability. While the November 10 network upgrade offers immediate benefits, the bigger challenge will be rolling out the 2026 plans and getting developers and institutions to adopt these improvements for real-world use.
What updates are there in the ATOM code base?
Cosmos (ATOM) has launched important updates to its software, security, and ecosystem to improve how different blockchains work together and to strengthen the network’s reliability.
- Network Upgrade v25.2.0 (November 10, 2025) – Focuses on better connections between blockchains, especially with Ethereum.
- Validator Delegation Update (October 30, 2025) – Encourages a more decentralized and stable network by changing how validators are rewarded.
- Tokenomics Changes (October 30, 2025) – Community-led tweaks to staking rewards and inflation rates.
- Security Improvements (June 16, 2025) – Includes code audits, removing risky access, and increasing bug bounty rewards.
Deep Dive
1. Network Upgrade v25.2.0 (November 10, 2025)
What happened: This update improves how Cosmos connects with other blockchains, especially Ethereum, using the Inter-Blockchain Communication (IBC) protocol. Some exchanges like Upbit and Bybit temporarily paused deposits and withdrawals to apply the update.
Why it matters: This is good news for ATOM holders because better blockchain connections can attract more developers and funds to projects built on Cosmos. It also makes moving assets between blockchains easier for users.
(Bybit)
2. Validator Delegation Update (October 30, 2025)
What happened: Cosmos Labs changed how validators—the network’s key participants who confirm transactions—are rewarded. The goal is to reduce the risk of too much control by a few validators and to encourage long-term involvement.
Why it matters: This update is neutral for ATOM’s price but strengthens network security. Smaller validators may benefit, which helps keep the network decentralized and secure.
(Khanh (Henry).edge)
3. Tokenomics Changes (October 30, 2025)
What happened: The community proposed changes to reduce ATOM’s inflation rate (currently between 7% and 20% per year) by adjusting staking rewards and token burning, inspired by a model used by Curve Finance.
Why it matters: If successful, this could help stabilize ATOM’s value over time, which is positive for investors. However, there might be some short-term uncertainty as staking rewards are adjusted.
(Khanh (Henry).edge)
4. Security Improvements (June 16, 2025)
What happened: After discovering that a developer connected to North Korea contributed code, Interchain Labs removed their access, audited the codebase, and doubled rewards for finding bugs through HackerOne.
Why it matters: These proactive steps improve security and reduce the risk of attacks, which builds trust among institutional investors. Node operators need to update their software to stay secure.
(Interchain Labs)
Conclusion
Cosmos is focusing on making it easier for different blockchains to work together, improving security, and creating a sustainable economic model for ATOM. The November 2025 network upgrade and tokenomics changes could attract more developers and investors. It will be interesting to see how these improvements affect ATOM’s competition with other multi-chain platforms like Polkadot and Ethereum.
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