diff --git a/pkg/app/app_test.go b/pkg/app/app_test.go
index ffc500fb..77bff0b9 100644
--- a/pkg/app/app_test.go
+++ b/pkg/app/app_test.go
@@ -2718,6 +2718,9 @@ func (helm *mockHelmExec) ReleaseStatus(context helmexec.HelmContext, release st
 func (helm *mockHelmExec) DeleteRelease(context helmexec.HelmContext, name string, flags ...string) error {
 	return nil
 }
+func (helm *mockHelmExec) RollbackRelease(context helmexec.HelmContext, name string, flags ...string) error {
+	return nil
+}
 
 func (helm *mockHelmExec) List(context helmexec.HelmContext, filter string, flags ...string) (string, error) {
 	return "", nil
diff --git a/pkg/exectest/helm.go b/pkg/exectest/helm.go
index 2531f6f1..c386ec7d 100644
--- a/pkg/exectest/helm.go
+++ b/pkg/exectest/helm.go
@@ -36,6 +36,7 @@ type Helm struct {
 	RegistryLoginHost    string // Captures the host passed to RegistryLogin
 	Releases             []Release
 	Deleted              []Release
+	Rolledback           []Release
 	Linted               []Release
 	Unittested           []Release
 	Templated            []Release
@@ -181,6 +182,13 @@ func (helm *Helm) DeleteRelease(context helmexec.HelmContext, name string, flags
 	helm.Deleted = append(helm.Deleted, Release{Name: name, Flags: flags})
 	return nil
 }
+func (helm *Helm) RollbackRelease(context helmexec.HelmContext, name string, flags ...string) error {
+	if strings.Contains(name, "error") {
+		return errors.New("error")
+	}
+	helm.Rolledback = append(helm.Rolledback, Release{Name: name, Flags: flags})
+	return nil
+}
 func (helm *Helm) List(context helmexec.HelmContext, filter string, flags ...string) (string, error) {
 	key := ListKey{Filter: filter, Flags: strings.Join(flags, " ")}
 
diff --git a/pkg/helmexec/exec.go b/pkg/helmexec/exec.go
index 4b061266..14d63df5 100644
--- a/pkg/helmexec/exec.go
+++ b/pkg/helmexec/exec.go
@@ -837,6 +837,15 @@ func (helm *execer) DeleteRelease(context HelmContext, name string, flags ...str
 	return err
 }
 
+func (helm *execer) RollbackRelease(context HelmContext, name string, flags ...string) error {
+	helm.logger.Infof("Rolling back %v", name)
+	preArgs := make([]string, 0)
+	env := make(map[string]string)
+	out, err := helm.exec(append(append(preArgs, "rollback", name), flags...), env, nil)
+	helm.info(out)
+	return err
+}
+
 func (helm *execer) TestRelease(context HelmContext, name string, flags ...string) error {
 	helm.logger.Infof("Testing %v", name)
 	preArgs := make([]string, 0)
diff --git a/pkg/helmexec/helmexec.go b/pkg/helmexec/helmexec.go
index 2b1457c5..9c3caebc 100644
--- a/pkg/helmexec/helmexec.go
+++ b/pkg/helmexec/helmexec.go
@@ -31,6 +31,7 @@ type Interface interface {
 	Unittest(name, chart string, flags ...string) error
 	ReleaseStatus(context HelmContext, name string, flags ...string) error
 	DeleteRelease(context HelmContext, name string, flags ...string) error
+	RollbackRelease(context HelmContext, name string, flags ...string) error
 	TestRelease(context HelmContext, name string, flags ...string) error
 	List(context HelmContext, filter string, flags ...string) (string, error)
 	DecryptSecret(context HelmContext, name string, flags ...string) (string, error)
diff --git a/pkg/state/helmx.go b/pkg/state/helmx.go
index 62692e00..6ac81f76 100644
--- a/pkg/state/helmx.go
+++ b/pkg/state/helmx.go
@@ -214,6 +214,27 @@ func (st *HelmState) appendWaitFlags(flags []string, release *ReleaseSpec, ops *
 	return flags
 }
 
+func (st *HelmState) shouldUseAtomic(release *ReleaseSpec, ops *SyncOpts) bool {
+	switch {
+	case release.Atomic != nil:
+		return *release.Atomic
+	default:
+		return st.HelmDefaults.Atomic
+	}
+}
+
+func (st *HelmState) appendAtomicFlags(flags []string, release *ReleaseSpec, ops *SyncOpts) []string {
+	if st.shouldUseKubedog(release, ops) {
+		return flags
+	}
+
+	if st.shouldUseAtomic(release, ops) {
+		flags = append(flags, "--atomic")
+	}
+
+	return flags
+}
+
 // append post-renderer flags to helm flags
 func (st *HelmState) appendCascadeFlags(flags []string, helm helmexec.Interface, release *ReleaseSpec, cascade string) []string {
 	// see https://github.com/helm/helm/releases/tag/v3.12.1
diff --git a/pkg/state/helmx_test.go b/pkg/state/helmx_test.go
index 78c0c3d1..d15000d7 100644
--- a/pkg/state/helmx_test.go
+++ b/pkg/state/helmx_test.go
@@ -483,3 +483,72 @@ func TestFormatLabels(t *testing.T) {
 		})
 	}
 }
+
+func TestAppendAtomicFlags(t *testing.T) {
+	tests := []struct {
+		name     string
+		release  *ReleaseSpec
+		syncOpts *SyncOpts
+		helmSpec HelmSpec
+		expected []string
+	}{
+		{
+			name:     "atomic from release",
+			release:  &ReleaseSpec{Atomic: &[]bool{true}[0]},
+			syncOpts: nil,
+			helmSpec: HelmSpec{},
+			expected: []string{"--atomic"},
+		},
+		{
+			name:     "atomic from helm defaults",
+			release:  &ReleaseSpec{},
+			syncOpts: nil,
+			helmSpec: HelmSpec{Atomic: true},
+			expected: []string{"--atomic"},
+		},
+		{
+			name:     "atomic disabled in release",
+			release:  &ReleaseSpec{Atomic: &[]bool{false}[0]},
+			syncOpts: nil,
+			helmSpec: HelmSpec{Atomic: true},
+			expected: []string{},
+		},
+		{
+			name:     "no atomic",
+			release:  &ReleaseSpec{},
+			syncOpts: nil,
+			helmSpec: HelmSpec{},
+			expected: []string{},
+		},
+		{
+			name:     "atomic skipped when kubedog enabled via release",
+			release:  &ReleaseSpec{Atomic: &[]bool{true}[0], TrackMode: "kubedog"},
+			syncOpts: nil,
+			helmSpec: HelmSpec{},
+			expected: []string{},
+		},
+		{
+			name:     "atomic skipped when kubedog enabled via syncOpts",
+			release:  &ReleaseSpec{Atomic: &[]bool{true}[0]},
+			syncOpts: &SyncOpts{TrackMode: "kubedog"},
+			helmSpec: HelmSpec{},
+			expected: []string{},
+		},
+		{
+			name:     "atomic skipped when kubedog enabled via helm defaults",
+			release:  &ReleaseSpec{Atomic: &[]bool{true}[0]},
+			syncOpts: nil,
+			helmSpec: HelmSpec{TrackMode: "kubedog"},
+			expected: []string{},
+		},
+	}
+
+	for _, tt := range tests {
+		t.Run(tt.name, func(t *testing.T) {
+			st := &HelmState{}
+			st.HelmDefaults = tt.helmSpec
+			got := st.appendAtomicFlags([]string{}, tt.release, tt.syncOpts)
+			require.Equalf(t, tt.expected, got, "appendAtomicFlags() = %v, want %v", got, tt.expected)
+		})
+	}
+}
diff --git a/pkg/state/state.go b/pkg/state/state.go
index ffadaf9a..1b06b335 100644
--- a/pkg/state/state.go
+++ b/pkg/state/state.go
@@ -1132,6 +1132,7 @@ func (st *HelmState) SyncReleases(affectedReleases *AffectedReleases, helm helme
 					if relErr == nil && st.shouldUseKubedog(release, opts) {
 						if trackErr := st.trackWithKubedog(gocontext.Background(), release, helm, opts); trackErr != nil {
 							st.logger.Warnf("kubedog tracking failed for release %s: %v", release.Name, trackErr)
+							st.handleKubedogFailure(context, helm, release, trackErr, m, affectedReleases)
 						}
 					}
 				} else {
@@ -1154,6 +1155,7 @@ func (st *HelmState) SyncReleases(affectedReleases *AffectedReleases, helm helme
 						if st.shouldUseKubedog(release, opts) {
 							if trackErr := st.trackWithKubedog(gocontext.Background(), release, helm, opts); trackErr != nil {
 								st.logger.Warnf("kubedog tracking failed for release %s: %v", release.Name, trackErr)
+								st.handleKubedogFailure(context, helm, release, trackErr, m, affectedReleases)
 							}
 						}
 					}
@@ -1272,6 +1274,33 @@ func (st *HelmState) performSyncOrReinstallOfRelease(affectedReleases *AffectedR
 	return nil
 }
 
+func (st *HelmState) handleKubedogFailure(context helmexec.HelmContext, helm helmexec.Interface, release *ReleaseSpec, trackErr error, m *sync.Mutex, affectedReleases *AffectedReleases) {
+	if !st.shouldUseAtomic(release, nil) {
+		return
+	}
+
+	st.logger.Infof("Rolling back release %s due to kubedog tracking failure (atomic mode enabled)", release.Name)
+
+	rollbackFlags := st.appendConnectionFlags([]string{}, release)
+	if err := helm.RollbackRelease(context, release.Name, rollbackFlags...); err != nil {
+		st.logger.Errorf("Failed to rollback release %s after kubedog tracking failure: %v", release.Name, err)
+		m.Lock()
+		affectedReleases.Failed = append(affectedReleases.Failed, release)
+		m.Unlock()
+	} else {
+		st.logger.Infof("Successfully rolled back release %s", release.Name)
+		m.Lock()
+		for i, r := range affectedReleases.Upgraded {
+			if r.Name == release.Name && r.Namespace == release.Namespace {
+				affectedReleases.Upgraded = append(affectedReleases.Upgraded[:i], affectedReleases.Upgraded[i+1:]...)
+				break
+			}
+		}
+		affectedReleases.Failed = append(affectedReleases.Failed, release)
+		m.Unlock()
+	}
+}
+
 func (st *HelmState) listReleases(context helmexec.HelmContext, helm helmexec.Interface, release *ReleaseSpec) (string, error) {
 	flags := st.kubeConnectionFlags(release)
 	if release.Namespace != "" {
@@ -3453,9 +3482,7 @@ func (st *HelmState) flagsForUpgrade(helm helmexec.Interface, release *ReleaseSp
 		flags = append(flags, "--recreate-pods")
 	}
 
-	if release.Atomic != nil && *release.Atomic || release.Atomic == nil && st.HelmDefaults.Atomic {
-		flags = append(flags, "--atomic")
-	}
+	flags = st.appendAtomicFlags(flags, release, opt)
 
 	if release.CleanupOnFail != nil && *release.CleanupOnFail || release.CleanupOnFail == nil && st.HelmDefaults.CleanupOnFail {
 		flags = append(flags, "--cleanup-on-fail")
diff --git a/pkg/testutil/mocks.go b/pkg/testutil/mocks.go
index 453a931e..5b1f46d8 100644
--- a/pkg/testutil/mocks.go
+++ b/pkg/testutil/mocks.go
@@ -120,6 +120,10 @@ func (helm *noCallHelmExec) DeleteRelease(context helmexec.HelmContext, name str
 	helm.doPanic()
 	return nil
 }
+func (helm *noCallHelmExec) RollbackRelease(context helmexec.HelmContext, name string, flags ...string) error {
+	helm.doPanic()
+	return nil
+}
 
 func (helm *noCallHelmExec) List(context helmexec.HelmContext, filter string, flags ...string) (string, error) {
 	helm.doPanic()