A pullback like this is actually constructive. After a strong move, price needs to cool off, shake out weak hands, and reset funding. That’s how real trends stay alive. What we’re seeing on ATOM feels less like weakness and more like preparation — liquidity getting cleared so the next move has room to expand.

$ATOM Short Liquidation: $5.689K at $1.998

I’m watching this area closely because the sell-off into $2.00 swept short liquidity and tagged a zone that has mattered before. These are the kinds of corrections that quietly build the base for continuation.

Trade Setup (Long Bias):

Entry Zone: $1.96 – $2.02

Target 1: $2.18

Target 2: $2.35

Stop Loss: $1.88

This zone is strong for a reason. The $2.00 region acted as prior support before the last expansion, and price reacted sharply from here in the past. On top of that, this pullback aligns with a key retracement of the previous leg up, which often attracts buyers looking for discounted entries. The liquidation near $1.998 adds more weight — shorts got trapped right where demand tends to show up.

I’m watching how price behaves here. If this level holds and we start seeing acceptance above $2.00, it tells me they’re building strength rather than breaking down. As long as buyers defend this zone, the path toward the next upside targets remains open.