- Osmosis launched a new stablecoin trading exchange for the Cosmos ecosystem.
- Price did not reflect the positive reactions regarding the new launch.
- The trading volume fell by almost 20%.
Osmosis is a decentralized exchange (DEX) for the Cosmos ecosystem, which has recently launched a stableswap — a protocol for trading stablecoins. The main notion behind this launch was Osmosis becoming the main venue where Cosmos users can access and trade in the wider range of stablecoins. In the bigger picture, we can observe that amidst crashing centralized exchanges (CEX) crashing and flourishing DEXs (rising user count and rising native coin prices), OSMO, native coin of Osmosis did not even flinch and continued to form a down trail. Also, the exchange has had almost no new users while existing ones are switching to other DEXs. The Osmosis exchange continued to be deserted and made no amends to show recovery from the FTX crash. On top of that, despite a dwindling user count, the exchange expanded to a stablecoin exchange.
The diminishing action
The OSMO price is seen moving horizontally in a parallel channel and toward a further fall near the price range of $0.25. All significant EMAs hold spots above the price action by falling steeply closer to the current price. The trading volume is next to non-existent and is painted red, displaying what a bummer Osmosis is.
The CMF indicator oscillates below the baseline and slopes down, indicating the downtrend and the free fall the prices may witness. The MACD indicator goes neutral, with both lines tangled and parallel to the zero base. The RSI indicator reaches the edge of becoming oversold and is taking cyclical trips to the later zone.
The closer look
The price in the closer timeframe too, keeps on forming a falling pattern. The CMF indicator lays low in the shadows as the market is controlled by the bears. The MACD indicator almost coincides with the zero-histogram mark and shows no signs of divergence in the near term; it will be bearish even if it diverges. The RSI dripped down to the oversold border, taking dips to the same range.
The market is in the mayday situation but is taking no steps to turn around, rather making plans that may only bring harm. The holders of OSMO are doomed and are forced to vacate the exchange and switch to a project with greater potential.
Support levels: $0.68 and $0.25
Resistance levels: $1.67 and $1.92
The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.