What is expected in the development of ATOM?

Cosmos is focusing on making its technology more appealing to businesses, improving performance, and growing its network.

1. Tokenomics Redesign (Q1 2026) – The community will work together to update ATOM’s economic system.
2. IBC to Solana & L2s (Q1 2026) – Building bridges to connect Cosmos with other blockchains like Solana and Ethereum Layer 2s.
3. CometBFT 10k+ TPS Upgrade (Mid-2026) – Boosting transaction speed to support large-scale business needs.

Deep Dive

1. Tokenomics Redesign (Q1 2026)

Overview:
Cosmos Labs and the community are teaming up to rethink how ATOM works economically. Right now, ATOM has an inflation rate between 7% and 20%, which affects staking rewards and overall supply. The update will happen in four steps: research, modeling, voting by the community, and then implementation (Cosmos Blog).

What this means:

• Positive: Introducing token burns or other ways to reduce supply could make ATOM more valuable by limiting how many tokens are available.
• Risk: If the community can’t agree or if there are delays, the changes might take longer or not happen as planned.

2. IBC to Solana & L2s (Q1 2026)

Overview:
Cosmos is working on Inter-Blockchain Communication (IBC) connections to Solana, Base, and Ethereum Layer 2 networks. These bridges will let users move assets and use decentralized finance (DeFi) tools across different blockchains more easily.

What this means:

• Positive: Connecting to Solana’s $42 billion in locked assets and Ethereum’s Layer 2 networks could bring more users and money into Cosmos.
• Neutral: The success depends on whether these other blockchains choose to use Cosmos’ bridges or stick with their own solutions.

3. CometBFT 10k+ TPS Upgrade (Mid-2026)

Overview:
CometBFT is the technology Cosmos uses to confirm transactions. The upgrade aims to handle over 10,000 transactions per second, which is important for big business uses like digital currencies issued by governments and fast trading systems.

What this means:

• Positive: Big players like SWIFT and Japanese banks already use Cosmos technology. Faster transaction speeds could attract even more large organizations.
• Risk: Other blockchain platforms like Polygon and Avalanche are also improving speed, so Cosmos needs to keep innovating to stay competitive.

Conclusion

Cosmos is shifting toward serving businesses by improving speed and cross-chain connections, while also updating ATOM’s economic design to better support its community. The plan is ambitious and relies on community decisions, so there are risks in how smoothly it will roll out.

Will demand from businesses for independent blockchains grow faster than Cosmos can deliver?

What updates are there in the ATOM code base?

Cosmos (ATOM) is making key improvements focused on connecting different blockchains, rewarding network validators, and providing better tools for developers.

1. IBC Eureka Upgrade (July 2025) – Enables direct communication between Cosmos and Ethereum without relying on third-party bridges.
2. Tokenfactory Deployment (October 2025) – A toolkit that lets developers easily create and manage custom tokens.
3. Comet Consensus Engine Optimization (October 2025) – Speeds up transactions and lowers energy use for network validators.

Deep Dive

1. IBC Eureka Upgrade (July 2025)

What it is: This upgrade allows Cosmos and Ethereum blockchains to talk directly to each other using the Inter-Blockchain Communication (IBC) protocol. It removes the need for third-party bridges, which can be risky and slow.

The upgrade includes a trustless relayer system and standardizes how data packets are sent, making cross-chain communication safer and faster. Developers can now build decentralized apps (dApps) that work across both Ethereum and Cosmos, like decentralized exchanges (DEXs) with shared liquidity pools.

Why it matters: This is good news for ATOM holders. Easier Ethereum connectivity could attract more decentralized finance (DeFi) projects looking to operate on multiple blockchains, while still relying on Cosmos for security and transaction fees.

(Source)

2. Tokenfactory Deployment (October 2025)

What it is: Tokenfactory is a new software development kit (SDK) module that lets any blockchain create and manage tokens programmatically.

It works with CosmWasm smart contracts and supports flexible token features like adjustable supply limits and tax rules. This makes it simpler to launch specialized blockchains for things like gaming or real-world asset platforms.

Why it matters: In the short term, this won’t have a big impact on ATOM’s price. But over time, easier token creation could grow the Cosmos ecosystem, increasing demand for ATOM tokens used in staking and governance.

(Source)

3. Comet Consensus Engine Optimization (October 2025)

What it is: This upgrade improves CometBFT, the consensus engine that powers Cosmos. It reduces the time it takes to confirm a block from 6.5 seconds to just 2.1 seconds and lowers the hardware requirements for validators by 40%.

It also introduces energy-efficient "light client" modes, allowing validators with less powerful equipment to participate in securing the network.

Why it matters: Faster transaction finality means a smoother experience for users of dApps on Cosmos. Lower hardware costs can encourage more validators to join, making the network more decentralized and secure. This is positive for ATOM’s long-term value.

(Source)

Conclusion

Cosmos is focusing on improving cross-chain connections (IBC-Ethereum), developer tools (Tokenfactory), and network performance (CometBFT). These upgrades strengthen ATOM’s position as a key player in blockchain innovation. The big question remains: how quickly will Ethereum projects start using these new IBC features?

Why did the price of ATOM fall?

Cosmos (ATOM) dropped 3.4% in the last 24 hours to $2.95, underperforming the overall crypto market, which fell 1.5%. This decline is linked to negative technical signals, uncertainty around an upcoming network upgrade, and cautious sentiment across the crypto sector. Key factors include:

1. Technical setback – Price hit resistance at $3.35 and is now testing important support at $2.64.
2. Upgrade concerns – Investors are cautious ahead of the November 10 v25.2.0 upgrade, despite improvements in cross-chain compatibility.
3. Centralization worries – A Bybit report raised concerns about Cosmos’ ability to freeze funds, challenging its decentralized image.

In-Depth Analysis

1. Technical Weakness (Negative Outlook)

Summary: ATOM couldn’t stay above its 30-day moving average of $3.08, triggering sell orders and continuing a 90-day downward trend of 36%. The Relative Strength Index (RSI) at 45.21 indicates neutral momentum, but the MACD indicator shows weakening bullish signals.

What this means: Sellers are currently in control as ATOM trades below key moving averages. The $2.64 level is a crucial support point—if it breaks, the price could fall sharply toward yearly lows.

What to watch: Pay attention to daily closing prices around $2.90. Staying below this level could confirm further declines.

2. Upgrade Uncertainty (Mixed Impact)

Summary: The upcoming v25.2.0 upgrade on November 10 aims to improve how Cosmos connects with other blockchains. However, Bybit temporarily paused ATOM deposits and withdrawals to prepare for the upgrade, causing short-term liquidity issues.

What this means: While upgrades usually signal long-term improvements, traders often reduce their holdings before such events due to risks like network downtime. ATOM’s trading volume dropped 13.6% to $87.8 million, increasing price swings.

What to watch: Look for how quickly the upgrade is adopted and developer activity afterward. A smooth upgrade could boost confidence, but delays or bugs might prolong the downturn.

3. Decentralization Risks (Negative Outlook)

Summary: A Bybit report published on November 12 revealed that Cosmos has the technical ability to freeze funds through protocol changes, placing it among 16 blockchains with some centralized control.

What this means: Although no fund freezes have happened, this information conflicts with Cosmos’ image as a decentralized network. Investors who stake their tokens (about 60% of the circulating supply) may reconsider governance risks, potentially putting downward pressure on the price.

Conclusion

The recent drop in ATOM’s price reflects a mix of technical challenges, cautious sentiment ahead of the network upgrade, and renewed concerns about decentralization. While the upgrade could spark renewed developer interest and positive momentum, short-term risks are currently weighing on the token.

Key point to watch: Will buyers defend the $2.64 support level, or will broader market pressures push ATOM to new lows? Keep a close eye on how the upgrade unfolds and any changes in staking activity.

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What could affect the price of ATOM?

Cosmos (ATOM) is at a crossroads with upcoming technical upgrades, debates over its token economics, and growing competition within its ecosystem—all of which could influence its price.

1. Interchain Security v25.2.0 Upgrade (Positive Outlook)
2. ATOM Inflation & Staking Rewards Debate (Potential Risk)
3. Ecosystem Competition & IBC Adoption (Mixed Effects)

In-Depth Look

1. Interchain Security v25.2.0 Upgrade (Positive Impact)

What’s Happening:
On November 10, 2025, Cosmos plans to roll out the v25.2.0 upgrade. This update is designed to improve how different blockchains connect and work together, especially making it easier to move assets between Cosmos and Ethereum. Supported by a $300 million treasury, the upgrade will also enhance liquidity (how easily assets can be bought or sold) and provide better tools for developers building on Cosmos SDK chains. Past upgrades, like v24.0.0, have improved network performance and encouraged more people to stake their ATOM tokens (Bybit).

Why It Matters:
Better cross-chain connections could attract more projects to build on Cosmos, increasing demand for ATOM since it’s used for staking (locking tokens to support the network) and paying fees. If this upgrade succeeds, it could help reverse ATOM’s recent 18% price drop over the past month by boosting confidence among developers and investors.

2. ATOM Inflation & Staking Rewards Debate (Potential Risk)

What’s Happening:
There’s an ongoing community discussion about reducing ATOM’s inflation rate—from the current 7–20% down to 2–4%—and lowering staking rewards. Some proposals, like the “MAGA” plan, aim to make these changes. Critics say the current inflation (around 10%) combined with limited real-world use makes ATOM less attractive, especially compared to safer investments like U.S. Treasury bonds offering about 5% returns. Adding to the uncertainty, the U.S. Securities and Exchange Commission (SEC) is suing Coinbase over whether ATOM should be classified as a security, which could affect its regulatory status (vixcontango).

Why It Matters:
If the community doesn’t successfully adjust the token’s economics, selling pressure might continue. Right now, stakers earn about 16% annual rewards but face a roughly 44% yearly loss in ATOM’s price. However, a proposed change called ATOM 2.0 suggests introducing a “tail emission” (similar to Monero’s approach) to keep some new tokens entering circulation steadily, which could help stabilize supply and improve long-term value.

3. Ecosystem Competition & IBC Adoption (Mixed Effects)

What’s Happening:
Cosmos’ Inter-Blockchain Communication (IBC) protocol currently handles about $1.7 billion in daily transactions. However, other chains like Noble (focused on USDC stablecoin) and Celestia are becoming leaders in cross-chain activity. Competitors such as Polkadot and Solana offer clearer benefits to their native token holders, while ATOM’s role as a central “hub” is weakening (Injective EVM).

Why It Matters:
ATOM’s price, which has dropped nearly 40% over the last 60 days, depends heavily on how well Interchain Security is adopted. If major projects like dYdX or Akash move to use this system, ATOM could earn more fees and recover. But if things stay stagnant, ATOM may continue to lag behind competitors like Solana, which has seen massive gains since 2023.

Conclusion

ATOM’s future is a balance between optimism from upcoming upgrades and challenges from inflation concerns and regulatory risks. Keep an eye on the November upgrade’s effect on cross-chain total value locked (TVL) and the early 2026 governance votes on inflation changes. The big question remains: Will Cosmos evolve from just a “passive SDK provider” into a hub that generates significant fees, or will ATOM continue to be a risky, yield-focused asset?

What are people saying about ATOM?

Cosmos (ATOM) is drawing attention with a mix of technical signals and ecosystem updates. Here’s the latest:

1. Traders are watching the $4.35–$4.85 price range as recent patterns suggest upcoming price swings.
2. Changes to tokenomics are sparking debate about inflation and the pressure from staking rewards being sold.
3. Injective’s new Ethereum Virtual Machine (EVM) integration is boosting optimism for better cross-chain compatibility.

Deep Dive

1. @ali_charts: Triangle Consolidation Nears Breakout (Bullish)

"Cosmos $ATOM triangle consolidation nearly at the apex. Watch for a 30% move!"
– @ali_charts (162K followers · 11.5K impressions · 2025-08-30 03:08 UTC)
View original post
What this means: This is a positive sign for ATOM. The price has been moving within a symmetrical triangle pattern, which often leads to a strong price move once it breaks out. If ATOM closes above $4.80, it could jump about 30% to around $6.20. But if it falls below $4.30, this pattern might fail, signaling a possible drop.

2. @0xDaniBi: Inflation Model Critiqued (Bearish)

Analysis claims ATOM’s 7-20% annual inflation creates $1.87B sell pressure from staking rewards (2021-2025).
– @0xDaniBi (758 followers · 22.1K impressions · 2025-10-15 16:55 UTC)
View original post
What this means: This is a warning sign for ATOM holders. The token’s inflation rate, which ranges from 7% to 20% yearly, means a lot of new tokens are created as staking rewards. Many validators might sell these rewards, putting downward pressure on the price. The analysis suggests that if inflation were cut in half, ATOM’s “fair price” could be around $11, implying current prices near $2.91 face challenges.

3. @cosmos: Injective EVM Goes Live (Neutral/Bullish)

Injective launches native EVM support, enabling Ethereum dApps on Cosmos with 0.64s block times.
– @cosmos (566K followers · 6.6K impressions · 2025-11-12 03:35 UTC)
View original post
What this means: This update is generally positive for Cosmos. Injective’s support for the Ethereum Virtual Machine means developers can now run Ethereum-based decentralized apps (dApps) on Cosmos with very fast transaction speeds. While this doesn’t guarantee an immediate price increase for ATOM, it strengthens Cosmos’ position as a hub for multi-chain applications, which could attract more developers and users over time.

Conclusion

Opinions on Cosmos (ATOM) are mixed right now. Technical traders see potential for price gains based on chart patterns, while some analysts are concerned about inflation and selling pressure from staking rewards. At the same time, ecosystem improvements like Injective’s EVM integration point to promising long-term growth. Keep an eye on the 30-day staking APR (around 16% currently) and IBC transaction volume to see if network activity can offset inflation concerns.

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What is the latest news about ATOM?

Cosmos is making important technology upgrades and facing discussions about how it’s governed. Here are the key updates:

1. Injective EVM Launches (November 12, 2025) – Cosmos now supports native Ethereum compatibility, making it easier for developers to build across different blockchains.
2. Bybit Highlights Fund-Freezing Risks (November 12, 2025) – Cosmos is among blockchains flagged for potential features that could freeze user funds, raising governance concerns.
3. v25.2.0 Upgrade Released (November 10, 2025) – This update improves cross-chain operations and helps move assets between Cosmos and Ethereum.

In-Depth Look

1. Injective EVM Launches (November 12, 2025)

What happened: Injective introduced native Ethereum Virtual Machine (EVM) support on its Cosmos-based blockchain. This means developers can now run Ethereum-compatible smart contracts on Cosmos without rewriting their code. The integration combines Ethereum’s wide developer base with Cosmos’ fast transaction speeds (blocks confirmed in about 0.64 seconds) and very low fees (around $0.00008 per transaction).

Why it matters: This is a positive development for Cosmos (ATOM) because it could attract more Ethereum developers and increase activity across different blockchains. However, Cosmos still faces competition from other blockchains that support EVM, like Polkadot. (Yahoo Finance)

2. Bybit Highlights Fund-Freezing Risks (November 12, 2025)

What happened: Research from Bybit identified 16 blockchains, including Cosmos, that have the technical ability to freeze user funds at the protocol level. While Cosmos hasn’t activated this feature, it could potentially use “module accounts” to do so in the future.

Why it matters: This raises concerns about centralization and control within Cosmos’ governance. While fund-freezing tools can improve security, they may also discourage users who value decentralization and control over their own assets. (CoinMarketCap)

3. v25.2.0 Upgrade Released (November 10, 2025)

What happened: Cosmos rolled out the v25.2.0 upgrade, which focuses on making cross-chain transactions smoother and improving the ability to move Ethereum assets onto Cosmos. This upgrade is supported by a $300 million fund managed by the Interchain Foundation.

Why it matters: In the short term, this upgrade is neutral for ATOM’s price, but it could help Cosmos grow in the long run by making it easier to connect with other blockchains. Key indicators to watch include the volume of cross-chain transactions and how many Ethereum assets move to Cosmos after the upgrade. (CoinMarketCap)

Conclusion

Cosmos is making solid progress with technology improvements like Ethereum compatibility and network upgrades. At the same time, concerns about governance and potential fund-freezing features highlight the need for transparency and trust. The future of ATOM will depend on how well it balances being a hub for cross-chain activity with maintaining decentralization and user confidence.