Market Overview for IQ/Tether USDt (IQUSDT) on 2025-09-05

• The pair rose from 0.003229 at 12:00 ET-1 to a high of 0.003327 before consolidating at 0.003294 as of 12:00 ET.
• A strong bullish reversal pattern emerged around 0.003229, followed by a sharp rally after 17:30 ET.
• Volume spiked after 21:15 ET, confirming the breakout, but declined in the final 6 hours, suggesting consolidation.
• RSI peaked near 65, signaling high momentum, while MACD remained positive, indicating ongoing bullish pressure.
• Bollinger Bands expanded post-18:00 ET, and price held above the middle band, suggesting continued bullish bias.

IQ/Tether USDt (IQUSDT) opened at 0.003229 on 2025-09-04 at 12:00 ET-1, reached an intraday high of 0.003327, and settled at 0.003294 by 12:00 ET on 2025-09-05. The 24-hour notional volume totaled 64,147,054.0 USD, with a turnover of $211,341.50.

Structure & Formations

Key support levels were identified at 0.003229 and 0.003215, while resistance emerged around 0.003265, 0.003275, and 0.003297. Notable candlestick patterns included a bullish engulfing pattern around 17:45 ET and a bearish spinning top near 02:30 ET. These formations indicated a tug-of-war between buyers and sellers after the initial breakout. A doji at 05:30 ET suggested indecision, followed by a green hammer pattern at 07:00 ET, reinforcing the bullish bias.

Moving Averages

On the 15-minute chart, the 20-period MA crossed above the 50-period MA after 21:30 ET, confirming a bullish crossover. For the daily chart, the 50-period MA was trading at 0.003268, while the 200-period MA was at 0.003255, indicating the price is above both, supporting a medium-term bullish trend. The 100-period MA sat at 0.003261, reinforcing the trend.

MACD & RSI

The MACD line remained positive throughout the session, peaking at +0.000022 after 21:30 ET. The RSI fluctuated between 40 and 65, peaking at 65 at 13:30 ET, indicating overbought conditions but not extreme. This suggests strong momentum without excessive speculative pressure. A RSI divergence was noted at 08:00 ET, where price made a higher high but RSI did not, signaling potential short-term weakness.

Bollinger Bands

Bollinger Bands expanded after 18:00 ET, reflecting increased volatility during the breakout phase. Price consistently traded above the middle band, with the upper band reaching 0.003327 at the peak. The lower band hovered near 0.003245, and price bounced off this level three times during the session, reinforcing its intermediate support role.

Volume & Turnover

Notable volume spikes occurred at 21:15 ET and 22:30 ET, coinciding with key breakout moments. These spikes were accompanied by higher notional turnover, confirming price action reliability. A dip in volume was observed from 05:00 to 10:00 ET, suggesting lack of follow-through and a potential short-term consolidation. The turnover-to-volume ratio was consistent, indicating no abnormal trading behavior or slippage.

Fibonacci Retracements

Applying Fibonacci retracements to the 15-minute swing from 0.003229 to 0.003294, the 38.2% retracement level was at 0.003265 and the 61.8% at 0.003289, both of which were tested and held. For the larger daily move from 0.003215 to 0.003327, the 61.8% retracement at 0.003289 served as a key resistance level, and the price held just below it, suggesting resistance may hold in the near term.

Backtest Hypothesis

Based on the observed bullish engulfing patterns, positive MACD crossovers, and volume confirmation, a backtesting strategy could involve entering long positions at the open of the candle following a confirmed breakout above key support/resistance levels, with a stop-loss just below the 38.2% Fibonacci retracement and a target at the 61.8% level or beyond. This approach would aim to capture short-term momentum swings while using Fibonacci levels as dynamic risk management tools. A trailing stop could be used once the price confirms a strong upward bias, aligning with the MACD and RSI dynamics observed.