Market Overview for Alchemix/Tether (ALCXUSDT)

Summary
• ALCXUSDT broke above a key resistance at $7.95, forming a bullish engulfing pattern.
• Momentum suggests a potential short-term overbought condition, with RSI hitting 62.
• Volatility increased following the mid-day break above $7.95, confirming a strong price move.
• Bollinger Bands expanded as the price pushed higher, signaling increased market participation.
• Turnover spiked 220% in the 5-hour window from 21:30 to 02:30 ET, validating the breakout.

At 12:00 ET−1 on 2026-01-06, ALCXUSDT opened at $7.96 and traded between $7.82 and $8.08 over the next 24 hours, closing at $7.86 by 12:00 ET on 2026-01-07. The total volume was 39,844.11, with a notional turnover of $317,662.

Structure & Candlestick Formations

The price formed a bullish engulfing pattern at 20:30 ET on 2026-01-06, breaking a key resistance at $7.95 and closing at $7.96. This was followed by a strong continuation over the next two hours, with price reaching a high of $8.08 at 21:45 ET. A key support at $7.90–$7.92 held twice during the session, suggesting a possible floor for short-term buyers.

Moving Averages

On the 5-minute chart, the 20SMA crossed above the 50SMA just before the breakout, confirming a potential short-term bullish bias. The daily chart shows a bearish bias with the 50DMA below the 100DMA, but the 24-hour rebound has created a potential divergence that could support a near-term test of the $8.10 level.

Momentum Indicators

The RSI climbed into overbought territory, peaking at 64 during the breakout phase. The MACD line crossed above the signal line at 20:30 ET, reinforcing the bullish momentum. However, the RSI failed to make a new high during the $8.08 peak, hinting at some internal selling pressure.

Volatility and Bollinger Bands

The price pushed out of a tight Bollinger Band contraction just before 20:30 ET and entered a clear expansion phase. By 21:45 ET, the price was trading above the upper band, indicating high volatility and broad market participation. This volatility remained elevated through the night before easing slightly during the early morning hours.

Volume and Turnover Analysis

Volume and turnover spiked sharply during the breakout and continuation phase, with a 220% increase in turnover between 21:30 and 02:30 ET. The highest 5-minute turnover occurred at 21:30 ET, reaching $5,934.68, coinciding with a close at $8.04. The price and turnover aligned well during the breakout, suggesting conviction from larger players.

Over the next 24 hours, ALCXUSDT may test the $8.10 level if short-term bullish momentum continues. However, the broader daily bias remains bearish, and a pullback toward $7.85–$7.88 could reemerge if buyers fade. Investors should monitor volume behavior around these key levels for confirmation of direction.