Market Overview for Gala/Tether (GALAUSDT) – 2025-10-11

• GALAUSDT dropped to $0.01107 during a sharp sell-off, but rebounded to close near $0.01141
• Price formed a bullish rebound pattern between 0.01109 and 0.01144, with volume increasing on the upswing
• RSI showed oversold conditions during the selloff, suggesting potential for a short-term bounce
• Bollinger Bands indicated tight volatility before the selloff, followed by expansion during the move down
• High volume during the 0.01109–0.01144 range confirms recent price action and trend consolidation

At 12:00 ET–1, GALAUSDT opened at $0.01495, hit a high of $0.01509, and a low of $0.01093, closing at $0.01141. Total volume reached 1.23 billion USDT, with a notional turnover of $136.1 million across the 24-hour window. Price action revealed a sharp selloff midday, followed by a partial rebound in the afternoon and evening, forming a potential support zone between $0.01109 and $0.01144.

Structure & Formations

Price broke below a key support level near $0.01421 in the 15-minute timeframe, triggering a sharp decline to $0.01093. This move was accompanied by a bearish engulfing pattern around $0.0145–0.0133 and a doji near $0.01199, indicating indecision and exhaustion. A potential support level has since emerged between $0.01109 and $0.01144, where volume spiked, suggesting accumulation.

Moving Averages

On the 15-minute chart, the 20-period MA fell below the 50-period MA, confirming bearish momentum. The 50-period MA at $0.01143 aligns closely with recent price levels, suggesting it may act as a pivot. Daily MAs show the 50-period at $0.0133, the 100-period at $0.0142, and the 200-period at $0.0148, reinforcing the bearish bias for the intermediate term.

MACD & RSI

The MACD crossed below zero mid-day, with a bearish divergence developing as price fell lower. RSI hit oversold territory (25–30) near the session low, suggesting a potential bounce. However, the RSI divergence between price and momentum weakens the bullish case, as bearish momentum remains strong.

Bollinger Bands

Volatility contracted before the selloff, with price consolidating within tight bands between $0.0143 and $0.0149. After the breakdown, bands expanded significantly, reflecting heightened volatility. Price now trades near the upper band at $0.01144, suggesting it may test this level as resistance or a short-term ceiling if bullish follow-through appears.

Volume & Turnover

Volume surged during the selloff, with the most intense sell pressure occurring between 19:30 and 21:15 ET, as price dropped from $0.01455 to $0.01199. Notional turnover spiked to $38.7 million during this period, confirming the bearish move. In contrast, volume during the rebound was more moderate, raising concerns about the sustainability of the recovery.

Fibonacci Retracements

Applying Fibonacci to the 0.01495–0.01093 move, key retracement levels lie at 38.2% ($0.01291), 50% ($0.01296), and 61.8% ($0.01303). Price has yet to reach even the 38.2% level, indicating a deep bearish move. The 61.8% retracement is a potential long-term support zone for the coming days.

Backtest Hypothesis

The backtesting strategy described focuses on identifying key Fibonacci retracement levels and using RSI divergence as a signal for potential reversals. Given the recent move into oversold territory and the 38.2% retracement level ahead, a potential test of this zone may trigger a short-term bounce. If RSI forms a bullish divergence while price consolidates near $0.01109–0.01144, this could confirm the reversal case. Traders might consider setting a stop-loss below $0.01107 and a take-profit at $0.01144 to manage risk.