ATOM/USDT Technical Analysis Suggests Cautious Long Entries Near 4.57-4.61

The market structure since April has been sideways within the range of 4.05 to 5.30, with the last impulsive movement from 4.078 to 5.262 occurring between July 12-15, followed by a decline to the Fibonacci 0.5-0.618 levels. Currently, a pattern of higher lows is emerging with levels at 4.08, 4.33, and 4.61. Key levels include a swing-high area at 5.26-5.33, which also serves as a liquidity zone; the LVN at 5.02-5.12 atop the VPOC and cloud top; and the critical support level at 4.07-4.10. Market sentiment shows greed at 64, with positive funding and growing open interest, suggesting the potential for short-term squeezes. Trading strategies primarily favor cautious long positions in the 4.57-4.61 zone with targets near 4.98-5.02, 5.24-5.28, and possibly 5.56 on a breakout. Conversely, short scenarios favor rejections at key resistance levels with targets down to 4.57. Risk management recommends limiting position size, using stops at or beyond 0.786 Fib levels, and monitoring open interest and funding to anticipate short squeezes or trend reversals.