Market Overview for dYdX/Tether (DYDXUSDT) on 2025-10-31

• dYdX/Tether (DYDXUSDT) traded in a bearish range, closing 0.2973 after hitting a high of 0.3253.
• Momentum dipped into oversold territory by mid-day, with a key bounce forming around 0.296.
• Volatility expanded in the early hours, but volume failed to confirm the initial break above 0.300.
• A potential consolidation phase began in the latter half of the day, with price aligning near 50-period MA.
• Key resistance at 0.306 and support at 0.294 marked significant turning points in the session.

Market Overview for dYdX/Tether (DYDXUSDT)

dYdX/Tether (DYDXUSDT) opened at 0.3088 on 2025-10-30 at 12:00 ET and closed at 0.3073 on 2025-10-31 at 12:00 ET. The pair reached an intraday high of 0.3253 and a low of 0.2937. Total 24-hour volume amounted to approximately 10,415,431.57, with a turnover of roughly $3,155,797.18 (calculated from price-weighted volume).

The session was marked by a sharp early move higher, capped by a significant candle on the 17:15 candle which printed a high of 0.3253 and closed at 0.3053. Price then entered a consolidation phase with a bearish bias, punctuated by several bearish engulfing patterns and a key support bounce around 0.296.

The 50-period moving average on the 15-minute chart acted as a pivotal zone for price during the latter part of the day, with price hovering just below this level. This suggests a potential shift in momentum. Additionally, the 20-period MA provided resistance in the mid-afternoon as price attempted to rebound from the 0.294–0.296 range.

Volatility was clearly visible in the early hours, with the Bollinger Band widening as price surged past the upper band and pulled back toward the midline. The RSI moved into oversold territory after 17:15, signaling possible short-term exhaustion in the bearish move. This appears to have coincided with increased buying interest near 0.296, with price stabilizing in the following hours.

However, the MACD showed weakening bullish momentum in the latter half of the day, and the histogram began to contract, suggesting that the buying pressure was not sustained. This may indicate a possible continuation of the downward trend unless a convincing break above 0.306 occurs with supporting volume.

Key Support & Resistance Levels

Price found notable support around 0.296–0.297, where it bounced off multiple times in the latter half of the session. Resistance remained firm at 0.306, with several failed attempts to break above this level. The 0.309–0.310 zone, particularly in the morning hours, also acted as a key psychological resistance.

A bearish engulfing pattern formed around 18:15–18:30 as price dropped from 0.2953 to 0.2973, closing at 0.2972. This pattern indicated a bearish reversal, which was later confirmed as price continued its descent. A small bullish hammer formed at 03:15, suggesting a potential short-covering or minor reversal attempt.

Fibonacci Retracements and Consolidation

Applying Fibonacci retracement to the early morning move from 0.2943 to 0.3253, key levels include 0.3063 (38.2%) and 0.2963 (61.8%). Price found support near the 61.8% level, indicating a possible consolidation phase or temporary bottoming formation. The 38.2% retracement level was tested multiple times but failed to hold, signaling bearish bias.

The volume profile showed a divergence around the 0.300–0.303 range, with price continuing to fall despite increased volume, suggesting a breakdown in conviction among buyers. This divergence may hint at a deeper correction to come, particularly if the key 0.294 support is tested again.

Backtest Hypothesis

To validate potential trading signals from this session, we need to obtain accurate RSI values for DYDXUSDT. Due to the current data retrieval limitations, we must either:
1. Retry with an adjusted symbol format such as BINANCE:DYDXUSDT or DYDX/USDT, which might be more widely recognized by data sources, or
2. Use the close price data provided to manually calculate RSI values locally, which will allow us to backtest the hypothesis that RSI oversold conditions (e.g., below 30) could trigger short-term rebounds with volume confirmation.

Given the price behavior and RSI divergence observed, the backtest could focus on identifying RSI-triggered long entries near key support levels (0.294–0.296) and short entries on RSI overbought conditions (above 60) near resistance (0.306–0.309). Volume divergence and MACD behavior should also be considered to refine entry and exit points.