Market Overview for DIA/Tether (DIAUSDT) – 2025-09-19

• DIA/Tether (DIAUSDT) declined over 15% in the 24-hour period, closing near intraday lows.

• Momentum shifted from positive to negative as RSI dropped into oversold territory and MACD crossed bearishly.

• Volatility surged with a widening of the Bollinger Bands following a sharp downward move.

• Volume spiked during the sell-off, confirming bearish sentiment rather than showing divergence.

• A key support level was tested at 0.7010–0.7026 and appears to have held during the last few hours.

DIA/Tether (DIAUSDT) opened at $0.7238 on 2025-09-18 12:00 ET and closed at $0.7034 at 12:00 ET on 2025-09-19. The pair reached a high of $0.7366 and a low of $0.7010, forming a bearish pattern. Total volume over the 24-hour window was 761,200.0, with a notional turnover of approximately $535,844.

The 15-minute chart reveals a strong downward trend, with key support levels forming around 0.7010–0.7026. A bearish engulfing pattern emerged during the early morning hours, signaling a shift in market sentiment. A potential resistance level was breached near 0.7276–0.7292, but the move lacked conviction, resulting in a quick reversal. A doji formed around 0.7176, indicating indecision, but the bearish trend continued afterward.

Structure & Formations

A key support level was confirmed at 0.7010–0.7026 during the late afternoon, which could serve as a potential entry point for longs. A major bearish reversal pattern was observed around 0.7295–0.7276, where the price dropped significantly after a brief rally. A series of lower lows and lower highs indicates a bearish trend that may continue unless the price breaks above 0.7292.

Moving Averages

The 20-period and 50-period moving averages on the 15-minute chart both crossed below key price levels, reinforcing the bearish momentum. On the daily chart, the 50-period moving average sits at around 0.7120, while the 100-period and 200-period lines are slightly higher, at 0.7145 and 0.7180, respectively. This suggests that the price remains below key bullish benchmarks.

MACD & RSI

The MACD crossed below the signal line during the early morning, confirming the bearish shift in momentum. RSI has fallen into oversold territory, currently at around 33, indicating a potential pause in the decline but not a reversal. A reversal from oversold levels is unlikely unless a strong bullish catalyst emerges.

Bollinger Bands

Bollinger Bands have widened significantly following the sharp decline, indicating increased volatility. The price closed near the lower band at 0.7034, reinforcing the bearish pressure. A contraction in the bands could signal a period of consolidation, but the current wide bands suggest ongoing selling pressure.

Volume & Turnover

Volume surged during the sell-off, peaking at over 148,758.0 on the 15-minute chart, which confirms the bearish move rather than showing divergence. Turnover increased in line with the price decline, reinforcing the strength of the downtrend. A significant portion of the volume occurred during the late afternoon and evening hours, suggesting increased participation by market participants.

Fibonacci Retracements

Fibonacci levels indicate that the current price is near the 61.8% retracement of the recent swing from 0.7366 to 0.7010. A break below 0.7010 would target the 78.6% level at 0.6985. On the 15-minute chart, a key 50% retracement level lies at 0.7189, which may act as a potential resistance on any short-term recovery.

Backtest Hypothesis

A potential backtesting strategy could involve entering a short position when the price breaks below the 50-period moving average on the 15-minute chart, with a stop-loss placed above the nearest resistance level and a target aligned with the 61.8% Fibonacci level. This approach would aim to capitalize on the bearish momentum, especially in a market showing strong volume confirmation during declines. The strategy could also include a filter to avoid trades during periods of high volatility or divergence in the RSI.