Market Overview for Gravity/Tether (GUSDT) – October 11, 2025

• Gravity/Tether (GUSDT) declined sharply from $0.00939 to $0.004 within a 24-hour window, indicating strong bearish momentum.
• Price action included a large bearish engulfing pattern and a long lower wick, signaling potential exhaustion of the short-term sell-off.
• Volatility spiked during the dip, with volume peaking at $81,514,611, followed by a consolidation phase in the latter half of the day.
• RSI entered oversold territory and showed a potential reversal, while Bollinger Bands constricted, hinting at a period of consolidation.

Gravity/Tether (GUSDT) opened at $0.00939 on October 10 at 12:00 ET and closed at $0.00762 at the same time the next day, recording a low of $0.004 and a high of $0.00939. The 24-hour total volume reached 417,517,697 and the notional turnover amounted to approximately $2,934,111, showing significant liquidity during the sharp decline and recovery.

Structure & Formations

The price action displayed a massive bearish engulfing pattern as GUSDT fell from $0.00912 to $0.004 within a few hours, indicating a shift in sentiment from bullish to bearish. A notable bear trap appeared as the price briefly rebounded to $0.00939 before dropping again. In the last part of the 24-hour window, the price consolidated between $0.0075 and $0.00765, suggesting a potential reversal in the short-term trend. A doji-like formation near the 24-hour close suggests indecision among market participants.

Moving Averages

On the 15-minute chart, the 20-period and 50-period moving averages remained bearish for much of the day, with price failing to cross above the 50SMA after the initial drop. On the daily chart, the 50-period and 200-period moving averages show a bearish divergence, with the price failing to close above the 50DMA at any point during the 24-hour period. The 100DMA acted as a minor resistance during the recovery phase, indicating continued bearish pressure in the near term.

MACD & RSI

The MACD line turned negative during the sharp drop, with the histogram showing a large bearish divergence. RSI reached oversold territory (around 25) near the $0.004 level, potentially signaling a short-term bounce. However, a strong bearish crossover in the MACD suggests continued downward momentum unless the price breaks above the 50-period moving average.

The RSI’s overbought condition is beginning to normalize, and while it may not indicate a reversal, it does suggest that the aggressive sell-off may be stabilizing. If GUSDT closes above the 38.2% Fibonacci level (~$0.0069), a recovery could continue toward the 50% level (~$0.0081). The 61.8% level (~$0.0094) remains a distant target for a full reversal.

Bollinger Bands

Volatility expanded significantly during the sharp decline, with price dropping below the lower Bollinger Band and bouncing off it near the $0.004 level. In the last half of the 24-hour window, the bands constricted as the price consolidated, indicating a period of low volatility and indecision. Price has remained within the bands since, suggesting that a breakout could be imminent but is currently underdeveloped.

Volume & Turnover

Volume surged during the sharp decline, with the peak volume reaching $81,514,611 as the price fell from $0.00912 to $0.004. This high-volume movement confirmed the bearish breakout. However, in the consolidation phase, volume decreased significantly, suggesting a lack of conviction in either direction. Turnover and price appear to be aligned during the initial decline, but a divergence appears in the latter half of the day as turnover tapers off without a clear price signal.

Fibonacci Retracements

The 38.2% and 61.8% Fibonacci retracement levels are currently at $0.0069 and $0.0081, respectively. The price briefly approached the 38.2% level in the last 6 hours and has been consolidating near it. If buyers manage to push the price above this level, the 61.8% level could become a focal point for a potential recovery.

Backtest Hypothesis

Given the recent price behavior and the technical indicators described, a potential backtesting strategy could involve a short-term bounce trade from the oversold RSI and Fibonacci 38.2% level. A long entry could be placed at $0.0069 with a stop-loss at $0.0065 and a target at $0.0076. The MACD histogram and volume data suggest that this level has some immediate support, while the consolidation in the upper Bollinger Band indicates that buyers are testing this area. If the price breaks above the 50SMA and holds, this could validate the entry and signal further upside. This setup could be tested on historical data during similar bearish corrections to assess its effectiveness in a volatile market.