Flamingo/Tether Market Overview (2025-10-14)

• Price declined from 0.0224 to 0.0204 within 24 hours amid heightened volatility.
• A bearish breakout below key support at 0.0221 confirmed downward momentum.
• RSI signaled oversold conditions briefly, but volume failed to confirm a reversal.
• Bollinger Bands contracted during consolidation and later expanded during the selloff.
• Turnover surged in the early morning ET, reflecting increased bearish activity.

Flamingo/Tether (FLMUSDT) opened at 0.0224 on October 13 at 12:00 ET and closed at 0.0204 the next day at the same time, marking a 24-hour decline. The price ranged between 0.0225 (high) and 0.0201 (low), with a total volume of 16,805,777 and a turnover of 364.51 Tether. The session was characterized by a strong bearish bias and sharp declines in the final hours of the day.

Structure & Formations

Price action revealed a key breakdown below the 0.0221 support level, which had previously acted as both a pivot and a psychological floor. This was confirmed by a long-bodied bearish candle with a small upper wick, indicating rejection. A bearish engulfing pattern formed in the 00:00–00:15 window, followed by a series of lower highs and lower lows. A doji near 0.0208 suggested potential exhaustion, though volume failed to confirm a reversal.

Moving Averages

On the 15-minute chart, the 20-period and 50-period moving averages showed a bearish crossover in the early morning hours, aligning with the downward breakout. On the daily chart, the 50-period MA remained above the 200-period MA, suggesting medium-term bearishness. The 100-period MA sat closer to price but failed to provide support.

MACD & RSI

MACD remained bearish throughout the session, with the histogram expanding as the price declined after 04:00 ET. The RSI dipped into oversold territory (below 30) near the 0.0204 level, but the move lacked confirmation in volume and failed to trigger a meaningful bounce. Momentum continued to weaken through the final hours of the day.

Bollinger Bands

Bollinger Bands remained in a tight range from 0.0222 to 0.0225 during the afternoon hours, suggesting a consolidation phase. However, a sharp expansion occurred as price moved below the lower band after 00:30 ET, signaling a breakout and increased volatility. The price closed near the lower band, reinforcing bearish sentiment.

Volume & Turnover

Volume surged during the early morning ET, coinciding with the breakdown below 0.0221. The largest volume spike was observed in the 09:00–09:15 window, where 1.7 million units traded at 0.0204–0.0211. Notional turnover also spiked during this period, reaching 36.2 Tether. However, volume during the final hours of the session waned, suggesting a potential pause in the selloff.

Fibonacci Retracements

The 38.2% and 61.8% retracement levels from the 0.0225–0.0204 swing were at 0.0217 and 0.0211, respectively. Price tested the 61.8% level before declining further, suggesting continued bearish pressure. On the daily chart, the 61.8% retracement of the previous week’s move was at 0.0215, which also failed to hold.

Backtest Hypothesis

A potential backtest strategy could involve entering long positions when RSI dips below 30, using daily data and a 14-period RSI. Given the observed oversold readings near 0.0204 without a clear reversal, this might suggest limited utility in a strict RSI-based strategy. To enhance robustness, exits could be set after exactly 3 trading days, aligning with short-term volatility patterns. Further testing would require specifying the exact tickers and confirming these parameters, but the current data suggests a bearish bias with limited short-term reversal signals.