DigiByte/Tether Market Overview

Summary
• DGBUSDT rallied to a 24-hour high of $0.01008 before consolidating, signaling possible bearish reversal after a sharp surge.
• Volatility spiked early in the session, with volume peaking at over 145 million, confirming the strength of the move.
• RSI briefly entered overbought territory during the rally, but failed to close above the 70 threshold, suggesting exhaustion.

DigiByte/Tether (DGBUSDT) opened at $0.00719 on 2025-11-03 at 12:00 ET and closed at $0.00906 on 2025-11-04 at 12:00 ET, reaching a high of $0.01008 and a low of $0.00711. The pair traded on a total volume of 361,835,039.99999996 and with a notional turnover of $3,277,982.89, indicating a strong and liquid session.

Structure & Formations

DGBUSDT experienced a dramatic reversal in early trading hours on 2025-11-04, surging from consolidation around $0.0083 to a high of $0.01008 by midday. A strong bullish engulfing pattern emerged around 08:00–08:45 ET, followed by a series of smaller bearish reversal candles. Notably, a long-legged doji formed near $0.00996 around 09:00 ET, indicating indecision among traders. Key support levels are forming around $0.00947 and $0.00892, while resistance is likely to be tested at $0.00996 and $0.01008.

Moving Averages

On the 15-minute chart, the 20-period and 50-period moving averages both crossed above the price during the morning surge, indicating a strong bullish bias. By late morning, the 50-period line began to lag, hinting at potential exhaustion. On the daily chart, the 50-period and 200-period moving averages are still aligned with the long-term downtrend, suggesting the recent rally may be a countertrend correction rather than a structural reversal.

MACD & RSI

The MACD line crossed above the signal line in the early hours of the morning, confirming a bullish momentum shift. However, by late morning, the histogram began to contract, indicating weakening momentum. RSI reached a peak of 76.4 near $0.01008 before declining sharply, failing to close above the 70 overbought threshold. This suggests that the rally may not have broad-based conviction and could face resistance ahead.

Bollinger Bands

The price broke above the upper Bollinger Band on 2025-11-04 at around 08:30 ET, indicating a breakout. This was followed by a period of high volatility, with the bands widening significantly. By midday, the price retracted toward the middle band, signaling potential consolidation. A retest of the upper band above $0.00996 could confirm the breakout, but a close below $0.00947 would suggest the move is corrective in nature.

Volume & Turnover

Volume surged to over 145 million in the 08:00–09:00 ET window, coinciding with the breakout above $0.00996. This was one of the largest volume spikes in the 24-hour period and strongly confirmed the move. However, turnover did not rise proportionally, indicating that the high volume was driven by large orders or wash trades. As the price declined later in the session, volume dropped off significantly, pointing to a potential lack of follow-through demand.

Fibonacci Retracements

The morning breakout occurred at the 61.8% Fibonacci retracement level of the earlier $0.00719–$0.0083 range, suggesting that the move had technical significance. The price then pulled back to the 38.2% level near $0.00947, which coincided with a previous support zone. A failure to hold above this level could see the price test the next Fibonacci level at $0.00892, reinforcing the bearish bias.

Backtest Hypothesis

Given the recent overbought conditions and divergence in volume and momentum, a backtest strategy based on RSI overbought levels may offer insights. A potential signal would be to sell at the close after RSI exceeds 70, assuming a short-term bearish reversal. However, the strategy should account for the high volume confirmation in the morning breakout to avoid false signals. The optimal execution would be to sell at the close of the candle that prints RSI > 70, rather than immediately at breakout.