Berachain/Bitcoin Market Overview: Volatile 24-Hour Drop Ends With Oversold RSI and Potential Bounce Signal

• Price declined sharply overnight, falling ~9.2% from a high of $2.43e-05 to $2.29e-05 by 06:00 ET.
• A bearish engulfing pattern formed around 00:30–01:30 ET, signaling strong selling pressure.
• RSI hit oversold territory below 30 by mid-morning, suggesting possible near-term bounce.
• Volatility remained elevated through 14:00 ET with high turnover spikes in early morning hours.
• Price found short-term support near $2.29e-05–$2.30e-05, consolidating ahead of 16:00 ET.

The BERABTC pair opened at $2.413e-05 at 12:00 ET on 2025-09-24, reaching a high of $2.434e-05 before plunging to a low of $2.251e-05, and closing at $2.315e-05 at 12:00 ET on 2025-09-25. Total 24-hour trading volume reached 14,845.32 units, with notional turnover of approximately $3.43 USD.

The candlestick pattern over the past 24 hours shows a sharp bearish reversal. After a brief attempt to reclaim higher ground in the early morning hours, the price broke down decisively, consolidating in a range from $2.28e-05 to $2.315e-05 by the end of the session. The formation of a bearish engulfing pattern between 00:30 and 01:30 ET was followed by a strong continuation of bearish momentum, as evidenced by a wide range candle forming a new intraday low at $2.251e-05.

The 20-period and 50-period moving averages on the 15-minute chart both crossed below the price line, reinforcing the downtrend. The 50-period moving average on the daily chart also appears to be a key level of resistance. The RSI indicator dropped below 30 into oversold territory by 06:00 ET, suggesting potential for a short-term bounce, though without a clear reversal pattern yet. The MACD line crossed below the signal line in the early morning hours, and has remained negative, indicating continued bearish momentum.

Bollinger Bands show a recent expansion following a period of contraction in the late night hours, aligning with the sharp decline in price. Price has since tested the lower band, with a small bounce observed in the midday hours. Volume spiked in the early morning decline, with a noticeable divergence between falling prices and lower volume in the afternoon, suggesting possible exhaustion in the bearish move. A Fibonacci 61.8% retracement level from the previous day’s high to low sits at approximately $2.33e-05, which may act as a near-term resistance.

A backtesting strategy could be formulated based on the RSI hitting oversold levels, combined with the price finding support near the lower Bollinger Band. This suggests a potential short-term bounce scenario. Using a 15-minute RSI(14) and a 20-period Bollinger Band, a long entry signal could be triggered when RSI falls below 30 and the price closes above the lower band. A stop-loss could be placed below the most recent swing low, while a take-profit could be set at the 50% Fibonacci retracement level. This strategy would aim to capture the mean-reverting nature of the pair during high volatility.