Market Overview for Metal DAO/Bitcoin (MTLBTC)

Summary
• MTLBTC opened at $4.74e-06, traded between $4.48e-06 and $4.89e-06, and closed at $4.59e-06.
• Volume surged at 00:15 ET on 2025-11-12, with 26,863.6 units traded, but price declined sharply.
• Overbought RSI readings and a bearish MACD crossover suggest weakening momentum and a likely pullback.

Price and Volume Action

Metal DAO/Bitcoin (MTLBTC) opened at $4.74e-06 at 12:00 ET-1, with a 24-hour high of $4.89e-06 and a low of $4.48e-06. The pair closed at $4.59e-06 at 12:00 ET, showing a bearish drift. Total volume for the 24-hour window was 174,826.9 units, with a notional turnover of approximately $803.76. A sharp volume spike at 00:15 ET accompanied a sharp price decline, suggesting increased bearish pressure.

Key Support and Resistance Levels

MTLBTC found key support near $4.48e-06 and $4.6e-06, and key resistance at $4.69e-06 and $4.89e-06. A bearish engulfing pattern formed on the 15-minute chart at 00:15 ET, confirming a short-term reversal. A doji at 04:00 ET on 2025-11-12 suggests indecision and a potential pause in the downtrend.

Technical Indicators and Momentum

The RSI hit overbought territory above 70 at the start of the 24-hour period but fell sharply, suggesting waning momentum and a potential pullback. The MACD crossed below the signal line, forming a bearish crossover, reinforcing the negative bias. Bollinger Bands showed a moderate expansion following the large candle at 00:15 ET, with price settling near the lower band, indicating oversold conditions and potential for a bounce.

Backtest Hypothesis

A backtesting strategy focusing on the “Bearish Engulfing” pattern could be implemented for MTLBTC. A valid trade signal would occur at the open of the next candle after the pattern forms. For this backtest, a sell signal would be triggered at the open following the 00:15 ET candle. A common exit strategy includes covering the short position at the next day’s close (intraday). However, for more conservative testing, the exit could be set after N days or include a stop-loss at the 38.2% Fibonacci retracement level of the subsequent rally.