Market Overview for Anchored Coins AEUR/Tether (AEURUSDT): Volatility and Bearish Exhaustion

• Anchored Coins AEUR/Tether (AEURUSDT) closed at 1.1676 after a volatile 24-hour swing from 1.147 to 1.1997.
• Momentum waned in the final 12 hours, with price consolidating near the mid-range of Bollinger Bands.
• A 15-minute bearish engulfing pattern formed at the peak of the rally, indicating potential bearish exhaustion.
• High volume was observed in the early hours of the session, particularly during the 18:30–20:00 ET rally.
• RSI entered overbought territory briefly but failed to confirm bullish continuation, suggesting bearish divergence.

The 24-hour period for Anchored Coins AEUR/Tether (AEURUSDT), traded under the ticker AEURUSDT, opened at 1.1521 on October 23, 2025, at 12:00 ET. It reached a high of 1.1997 before retreating to a low of 1.147 during the session, and closed at 1.1676 at 12:00 ET on October 24. Total trading volume for the 24-hour period was approximately 33,645.6 units, with a total notional turnover (volume × average price) of around $37,230. The price action indicates significant volatility and a bearish correction after a sharp short-term bullish spike.

Key support levels appear to have formed near 1.1611 and 1.147, with the 1.1671 area showing repeated consolidation. Resistance levels are evident at 1.174, 1.186, and 1.1997, with the latter acting as a short-term peak. The bearish engulfing pattern at 1.1997 suggests a failure of buyers to maintain momentum at the top of the move. Additionally, a doji-like formation at 1.1646 on October 24 indicates indecision and possible near-term reversal.

The 15-minute chart shows the 20-period moving average currently below the 50-period line, signaling bearish bias in the short term. The 50-period line is slowly crossing under the 100-period line, which could confirm a bearish trend continuation over the next 24–48 hours. On the daily chart, the 50-period MA is approaching the 200-period MA, suggesting potential for a bearish crossover. The 15-minute MACD is negative and trending downward, supporting bearish momentum. RSI has dropped from overbought to neutral territory, and may find support at the 50–55 level before any further bullish bounce.

Bollinger Bands show that price has expanded out of a narrow consolidation phase earlier in the session and is currently trading near the mid-band, indicating a potential continuation phase. A contraction in volatility occurred around 03:00–04:00 ET, followed by a sharp breakout. Price has spent most of the session outside the upper band, indicating elevated volatility and aggressive short-term trading. Fibonacci retracement levels on the 15-minute swing from 1.147 to 1.1997 show key levels at 1.1721 (61.8%) and 1.1606 (38.2%). The 61.8% level has been tested twice and appears to be a critical psychological level for short-term traders.

Backtest Hypothesis

A potential backtest strategy involves identifying the “Morning Star” pattern on the AEURUSDT pair to determine short-term bullish entry points. This candlestick pattern typically signals a reversal from a downtrend into an uptrend and is characterized by a large bearish candle, followed by a small-bodied candle (a gap), and then a large bullish candle. The AEURUSDT data suggests several candidates for such patterns during the 24-hour window, particularly around the 18:30–19:30 ET rally. However, due to an internal error in retrieving pre-calculated Morning Star signals for this pair, the exact dates and times of these patterns could not be confirmed. If manually identified or if the correct symbol is verified (e.g., AEURUSDT on a specific exchange such as Binance or KuCoin), a backtest can be performed using a 3-day holding period to evaluate the efficacy of the pattern as a bullish signal. A detailed list of the entry points will allow us to simulate the strategy using the current dataset for further validation.