Market Overview for Metis/Tether (METISUSDT): 24-Hour Summary

• Price fell 8.5% over 24 hours, closing near key support after a sharp selloff.
• Volatility surged in the latter half of the day, with Bollinger Bands expanding.
• RSI hit oversold levels, suggesting potential for near-term reversal, though momentum remains weak.
• Volume spiked during the selloff but failed to confirm a strong bounce, indicating bearish exhaustion.
• A bearish engulfing pattern emerged near the close, reinforcing short-term downward bias.

Opening Snapshot

The Metis/Tether (METISUSDT) pair opened at $14.41 on 2025-10-06 at 12:00 ET and closed at $13.45 on 2025-10-07 at the same time, after hitting a high of $14.61 and a low of $13.35. Total trading volume across 24 hours was 60,743.99, with notional turnover reaching approximately $832,891. Price action shows a pronounced bearish bias, marked by large down-candles and a lack of significant bullish follow-through.

Structure & Formations

Price action over the past 24 hours formed a distinct bearish structure, with a key resistance level forming around $14.61 and an immediate support at $13.45. A bearish engulfing pattern was observed at the end of the 15-minute chart, confirming the continuation of the downtrend. Additionally, a doji formed near $14.23, indicating indecision in the market before the selloff accelerated. The formation of a falling wedge pattern on the 15-minute chart further signals bearish momentum.

Support and Resistance Levels

Key support levels for the next 24 hours include $13.45 (current close) and the next major level at $13.25, while resistance is seen at $14.32 and $14.61. A break below $13.25 would open the path for a retest of the $13.00 level.

Moving Averages

On the 15-minute chart, the 20-period and 50-period moving averages (MAs) are both bearish, with the 50-period MA crossing below the 20-period MA (a death cross). On the daily chart, the 50, 100, and 200-period MAs are in a descending order, reinforcing the bearish bias. Price is trading well below all MAs, indicating a strong downtrend.

MA Crossover Implications

The recent 20/50 MA crossover on the 15-minute chart suggests continued short-term bearish momentum. However, the 50-period MA is not diverging significantly from price, indicating the trend is still intact.

MACD & RSI

The MACD line remains below the signal line, with both lines trending downward, reinforcing bearish momentum. The MACD histogram has been shrinking slightly, suggesting the sell-off may be losing some steam. The RSI is currently in oversold territory at around 29, which could hint at potential for a short-term bounce. However, RSI divergence is absent, and a sustained move above 50 is still some way off, so caution is warranted.

Bollinger Bands

Bollinger Bands have expanded significantly during the selloff, with price closing near the lower band. The widening of the bands indicates increasing volatility. The relative position of price near the band suggests a potential bounce, but without a strong follow-through, a continuation of the downtrend remains a high-probability scenario.

Volume & Turnover

Volume spiked during the selloff, particularly between 19:00 and 22:00 ET, when the price dropped from $14.61 to $13.45. Notional turnover also increased during these hours, confirming the strength of the bearish move. However, volume has not picked up during the current consolidation, and the lack of follow-through suggests the bearish pressure may be subsiding. Price/volume divergence is weak, indicating the selloff is likely to continue in the near term.

Fibonacci Retracements

Applying Fibonacci retracement levels to the recent swing from $14.61 to $13.45 shows that the 61.8% level is at $13.70, and the 50% level is at $14.03. The current price is below the 38.2% retracement level at $13.98, suggesting a potential for a retest of the 61.8% level if a bounce occurs. On the daily chart, the 61.8% level for the broader move is at $13.50, aligning with key support.

Backtest Hypothesis

A potential backtesting strategy could involve entering short positions when the 20-period MA crosses below the 50-period MA on the 15-minute chart and price closes near the lower Bollinger Band. A stop-loss could be placed above the 50-period MA, and a take-profit target set at the next Fibonacci level (61.8%). Given the recent bearish engulfing pattern and the MACD confirming bearish momentum, this setup may offer favorable risk/reward during extended downtrends. Volume confirmation during the initial leg of the selloff adds robustness to the trade signal.