Market Overview for EPICUSDT on 2025-10-07

• EPICUSDT opened at $1.885 and traded between $1.69 and $2.052, closing at $1.702 with bearish momentum.
• Price broke below a key support level near $1.868 and formed a bearish engulfing pattern in early hours.
• RSI entered oversold territory below 30, while volume surged near the 24-hour low.
• Bollinger Bands show a recent volatility expansion, with price near the lower band.
• Fibonacci retracement levels highlight $1.797 and $1.724 as potential retest zones.

Epic Chain/Tether (EPICUSDT) opened at $1.885 on October 6 at 12:00 ET and closed at $1.702 by October 7 at 12:00 ET. The pair reached a 24-hour high of $2.05 and a low of $1.69, registering total volume of 11.39 million contracts and a notional turnover of $18.89 million. The bearish bias intensified during the session, with price failing to hold above key support levels.

Structure & Formations

Price opened near a short-term support level at $1.88 and quickly moved higher, forming a strong bullish candle on the 15-minute chart at 18:00 ET. However, a sharp bearish reversal followed, with a bearish engulfing pattern emerging around $2.03–$2.04. This pattern was confirmed by a large red candle the next hour. A key support level at $1.868 was then broken, with the price continuing downward into the $1.72–$1.73 range. A bearish doji formed around $1.77–$1.78, indicating indecision, followed by a strong bearish candle confirming the breakdown.

Moving Averages

On the 15-minute chart, the 20-period and 50-period SMAs remained bearish, with price consistently below both lines during the latter half of the session. On the daily chart, the 50-period SMA sits at $1.88 and the 200-period at $1.93, both of which have acted as resistance. Price remains below these key levels, suggesting ongoing bearish pressure.

MACD & RSI

The MACD line crossed below the signal line around $1.85, signaling a bearish crossover. The RSI dipped into oversold territory below 30 on two occasions, most notably at the session’s close. However, these levels did not trigger a meaningful bounce, suggesting exhaustion in the bullish side. Momentum remains on the bearish side.

Bollinger Bands

Bollinger Bands expanded significantly during the bearish phase, reflecting heightened volatility. Price spent most of the session below the lower band, especially during the decline from $2.03 to $1.69. A contraction in the band width is expected if price consolidates, which could signal a potential reversal.

Volume & Turnover

Volume spiked during the bearish reversal phase, particularly on the large red candle at $2.03–$1.97. Notional turnover also increased during this period, confirming the bearish breakdown. Divergence between price and volume was not observed, but the final bearish candle had relatively moderate volume, indicating some exhaustion in the move.

Fibonacci Retracements

Applying Fibonacci retracement to the recent swing high of $2.05 and swing low of $1.69, key retracement levels include $1.88 (38.2%), $1.797 (50%), and $1.724 (61.8%). The 61.8% level appears to be holding as a short-term support, with price bouncing from this area but showing little follow-through.

Backtest Hypothesis

A potential backtesting strategy could focus on the bearish engulfing pattern observed during the early phase of the session and the subsequent breakdown below key support. A sell signal could be triggered when price closes below $1.868 with a stop-loss placed above the 50-period SMA. The first target would be the 61.8% Fibonacci level at $1.724, followed by $1.69 if the move continues. Given the bearish divergence in MACD and RSI, as well as the strong volume confirmation, this setup offers a high-risk-adjusted trade with a defined risk-to-reward profile.