ATOM rallies 9.5% but bearish trades and outflows hint at a possible price drop below $2.1

Cosmos (ATOM) surged 9.5% recently, drawing attention, but market data reveals sellers still dominate trading, especially in derivatives where short positions outnumber longs. Spot market outflows totaling $374K over 40 days and liquidation heatmaps indicate higher liquidity clusters below $2.1, suggesting the price may decline before any rebound. This raises concerns that the current rally could be a bull trap amid weakening liquidity conditions.