Market Overview for IQ/Tether (IQUSDT) – October 5, 2025

• Price formed a bullish rebound from 0.003228, capped by a key resistance at 0.003243–0.003256.
• Strong volume expansion occurred near 0.003250–0.003270, confirming upward momentum.
• RSI showed overbought conditions mid-day but failed to trigger a significant sell-off.
• Bollinger Bands expanded, signaling increased volatility with price near the upper band.
• Fibonacci 61.8% level at ~0.003263–0.003268 served as a temporary resistance during the rally.

IQ/Tether (IQUSDT) opened at 0.003234 on October 4 at 12:00 ET, reached a high of 0.003293, dipped to a low of 0.003228, and closed at 0.003253 as of 12:00 ET on October 5. The pair traded with a total volume of 52.8 million IQ and a notional turnover of ~$169,660 (at $0.003253 average). The 24-hour move reflected a modest bull trend amid growing volume and tight price consolidation toward the day’s close.

Structure & Formations

The 24-hour OHLCV data shows a bullish bias with a key support level forming around 0.003243–0.003246, where multiple 15-minute candles found buying interest. A notable bearish rejection was observed at 0.003256–0.003270 during the early morning hours, but this was followed by a retest and a bullish breakout. A small bullish engulfing pattern formed after 04:30 ET, suggesting short-term bullish momentum. A long lower wick at 0.003243–0.003236 confirmed a key support hold.

Moving Averages and Indicators

On the 15-minute chart, the 20-period and 50-period moving averages aligned above 0.003240, supporting the bullish structure. The daily chart saw the 50-period MA at ~0.003243 and the 200-period MA at ~0.003238, suggesting a neutral to bullish bias. The MACD crossed above the zero line at ~0.003250, confirming a shift in momentum. The RSI peaked at 64–66 mid-day, indicating overbought conditions but without triggering a significant correction.

Bollinger Bands and Volatility

Volatility expanded through the morning and early afternoon, with the upper band reaching ~0.003276 and the lower band dipping to ~0.003243. Price spent most of the session between the upper and middle bands, indicating a strong bullish bias. A contraction in the bands after 14:00 ET hinted at a potential reversal or consolidation phase ahead.

Volume and Turnover

Trading volume surged in the 02:45–04:30 ET window, with a total of ~9.2 million IQ traded. This coincided with a breakout above 0.003270 and confirmed the bullish momentum. However, volume declined after 06:00 ET as the pair approached the 0.003280–0.003285 range, suggesting potential resistance. Turnover followed a similar pattern, with peaks at 02:45 and 04:30, but a divergence emerged after 08:00 ET as price continued higher without corresponding volume spikes.

Backtest Hypothesis

Given the formation of a bullish engulfing pattern after 04:30 ET and the strong volume confirmation, a backtest strategy could involve a long entry at 0.003275 with a stop below 0.003255 and a target at 0.003295–0.003300. The RSI overbought condition and the MACD above zero further justify this setup. A trailing stop could be used after reaching the first target to capture potential extensions. This approach would aim to capitalize on the breakout confirmed by volume and momentum indicators.