ETHEURI Market Overview: Ethereum/Eurite 24-Hour Technical Summary

• ETHEURI opened at $3304.51 and peaked at $3369.34 before closing at $3327.96, down from the previous day's session high.
• A bearish reversal pattern emerged after midday, with volume surging on the 24-hour low at $3200.0.
• RSI hit overbought levels early, signaling potential exhaustion, while Bollinger Bands widened to indicate rising volatility.
• Price retested the 20-period EMA multiple times, showing indecision among traders.
• The final four hours saw a rebound on thin volume, raising questions about the strength of the recovery.

The 24-hour candle for ETHEURI opened at 3304.51 at 12:00 ET − 1 and closed at 3327.96 at 12:00 ET, reaching a high of 3369.34 and a low of 3200.0. Total volume across the 24 hours was 40.54, with a notional turnover of approximately $134,311, based on varying price levels. The price action reflected an early bearish thrust followed by a late consolidation phase, with key resistance around 3344.79 and support near 3281.21.

Structure and price behavior revealed a bearish bias following the midday pullback. A clear bearish engulfing pattern formed around 21:00 ET, confirming the downward shift. The ETHEURI pair also showed signs of a potential bullish reversal in the final hour, with price testing the 20-period EMA (3311.2) multiple times, failing to break decisively higher. The 50-period EMA, at 3307.86, offered limited support during the afternoon low.

Momentum indicators reinforced the narrative of a volatile session. The RSI surged into overbought territory in the early hours, peaking near 70 before dropping into oversold territory by 19:00 ET. This indicated a strong bearish move followed by exhaustion. MACD showed a bearish crossover mid-session, aligning with the volume-driven decline. The MACD line crossed back above the signal line in the final hours, hinting at a short-term reversal, though not strong enough to close above the daily high.

Bollinger Bands widened significantly during the bearish phase, reflecting increased volatility. Price action frequently sat near the lower band during the pullback, with a brief retest of the upper band in the final hour. This volatility expansion suggests an environment of heightened uncertainty or anticipation of a larger move. Fibonacci retracement levels saw price retest key 61.8% and 38.2% levels, but failed to confirm a strong directional bias.

Volume patterns were mixed. The midday bearish move was accompanied by a large volume spike (1.8805), reinforcing the downtrend, while the final rebound saw only moderate volume (0.473), casting doubt on its sustainability. Notional turnover spiked during the midday selloff and again during the final hour’s attempt to rally. However, the divergence between price and volume in the last 90 minutes of the session raises questions about the strength of the recovery.

The backtest hypothesis section will now address a potential strategy based on the candlestick patterns observed in this session.

A potential backtesting strategy could involve identifying bearish engulfing patterns—such as the one observed at 21:00 ET—and initiating short positions at the next open or close. Holding for 1 day, the strategy would aim to capture the immediate continuation of the downtrend. Given the volume confirmation during the pattern, the signal would be stronger than unconfirmed formations. A bullish reversal pattern in the final hour could also be tested for long entries, though the thin volume weakens the signal. The strategy would require further refinement based on consistent pattern identification and volume confirmation, as well as testing on a broader historical dataset.