Circle Stock Surges 6.97% to 134.05 Amid Technical Reversal Signals

Circle (CRCL) exhibited significant price action in the latest session, surging 6.97% to close at 134.05 after trading between 125.08 and 135.78 on elevated volume. This rally follows substantial volatility throughout the historical dataset, which displays a parabolic advance from June 2025 lows near 64 to an all-time high of 298.99 on June 23, subsequently undergoing a corrective phase. Below is a comprehensive technical assessment.
Candlestick Theory
The most recent three sessions reveal critical patterns. The 9/11 session formed a bullish engulfing candle (113.69–133.70) after touching 113.17 support. While 9/12 printed a bearish candle (125.32 close), 9/15’s strong bullish candle fully recovered those losses and exceeded the 9/11 high, confirming 125.08–124.50 as immediate support. Resistance emerges at 135.78 (9/15 high) followed by the August swing high of 151.47. This reversal pattern near 113–125 support suggests potential upside continuation.
Moving Average Theory
Using available data (78 sessions), the 50-period MA (approx. 133.50) is currently being tested. The latest close (134.05) reclaims this level after breaking below it in late August. A sustained hold above 133.50 may signal short-term trend recovery. However, persistent trading below the flattening 100-period MA (approx. 154) reflects intermediate bearish pressure. Golden or death crosses remain inconclusive given insufficient data for traditional 200-day MA calculation.
MACD & KDJ Indicators
The MACD histogram shows diminishing bearish momentum as the signal line converges following 9/11’s surge. Concurrently, KDJ exhibits recovery from oversold territory – the K-line (fast) crossed above the D-line (slow) on 9/15, reinforcing positive momentum divergence. These signals align with the candlestick reversal, though MACD’s position below zero warrants caution until a bullish crossover materializes.
Bollinger Bands
August’s band expansion signaled high volatility during the descent from 151.47. Recent consolidation between 113.17 and 135.78 compressed the bands, culminating in 9/15’s upside breakout that challenged the upper band. A confirmed close above 135.78 would validate this breakout, targeting 140–145. Conversely, failure may see retracement toward the 20-period moving average (mid-band) near 128.
Volume-Price Relationship
Volume spikes accompanied both major rallies (e.g., 33.8 million shares on 6/18’s 33.8% surge) and breakdowns (e.g., 49.2 million on 6/24’s 15.5% drop). The 9/15 advance occurred on 12.5 million shares – above average but below the 23.6 million volume on 9/11’s rally. This divergence warrants monitoring; follow-through above 135.78 requires volume expansion to confirm legitimacy.
Relative Strength Index (RSI)
The 14-period RSI rebounded sharply from 38 on 9/10 to 59 on 9/15, neutralizing oversold conditions without reaching overbought (>70) territory. While not flashing contrarian signals yet, RSI’s position below 60 suggests residual upside room. Traders should note that RSI divergence preceded prior reversals – including bearish divergence at June’s peak – but none is currently evident.
Fibonacci Retracement
Applying Fib levels to the June–August decline (298.99 to 113.17), key retracements emerge: 38.2% at 184.25, 50% at 206.08, and 61.8% at 227.91. Near-term, the pullback from the August high (151.47) to September low (113.17) yields tighter levels: 132.32 (50%) and 142.65 (78.6%). The 9/15 close at 134.05 marginally exceeds the 50% retracement, hinting at potential upside toward the 78.6% confluence zone near 142.65.
Confluence & Divergence
Strong confluence appears between the 50-period MA (133.50), Fib 50% retracement (132.32), and candlestick support (125.08–124.50). A confirmed break above 135.78 would align with Bollinger Band expansion, KDJ momentum shift, and the next Fib target (142.65). Primary divergence lies between expanding price momentum and lagging volume on 9/15, suggesting cautious validation of trend sustainability. The absence of classical RSI warnings offers tactical flexibility, though sustained MACD bearishness tempers aggressiveness. Overall, evidence leans toward tentative bullish bias with immediate resistance at 135.78–142.65.