Different digital currencies have responded to the crypto winter in varying ways as ecosystem strength and diversity served as an acid test for many innovative protocols. Cosmos (ATOM) came off as one of the few digital currencies whose growing ecosystem has helped it maintain a good level of resilience in the face of massive sell-offs.
At the time of writing, the coin is changing hands at $9.28, up by 0.5% over the past 24 hours. A retrace back in time shows ATOM is up by 3.4% over the trailing seven-day period, but this growth is an attempt to pare off the losses it has accrued over the past year and month. Data from CoinGecko shows the coin is down by 8.8% month-over-month and by 66.8% over the past year.
Despite its apparent bearish outlook, Cosmos (ATOM) is showing signs of a massive rebound as the year is coming to an end. While most HODLers are looking to take off some profits with scheduled sell-offs, ATOM investors are beginning to show signs of enhanced bullish activities, as shown in the uptick in the coin's trading volume over the past 24 hours.
Per the current outlook, ATOM is on track to retest its 30-day high of $10.55 should its current buying momentum be sustained.
Still Ethereum killer?
Cosmos was designed as an antidote to "slow, expensive, unscalable and environmentally harmful" proof-of-work protocols. Prior to The Merge of the Ethereum protocol, Cosmos was projected as a highly functional network capable of solving some of the redundancies the Ethereum blockchain exhibits.
With Ethereum now running on the proof-of-stake (PoS) model, Cosmos' Byzantine Fault Tolerance (BFT) consensus algorithm - a variant of the PoS - offers extra functionalities that allow it to surpass Ethereum. The relevance of Cosmos rests in its extra capabilities and the engagement of its community in core decision-making.