Market Overview: Sign/Tether Faces Bearish Pressure Amid Oversold Conditions

Summary
• Price broke below 0.0349 support with a bearish engulfing pattern.
• RSI and MACD both signal bearish momentum and oversold conditions.
• Volatility expanded, with volume spiking over 800,000 during the decline.
• Bollinger Bands widened, confirming heightened selling pressure.
• Fibonacci retracement shows a key level near 0.03445 as next potential target.

Sign/Tether (SIGNUSDT) opened at 0.03486 on 2025-12-20 at 12:00 ET, hit a high of 0.0352, a low of 0.03402, and closed at 0.03448 on 2025-12-21 at 12:00 ET. Total volume was 3,777,836, and turnover reached $130,314.

The 5-minute chart shows a bearish breakdown below the 0.0349 psychological level, confirmed by a bearish engulfing candle on the 5-minute chart. RSI dropped into oversold territory below 30, while MACD turned negative and crossed below the signal line, indicating weakening momentum.

Bollinger Bands widened significantly in the final 12 hours, signaling increased volatility. Volume surged to over 800,000 in the 15:00–17:00 ET window, coinciding with the price decline, suggesting strong selling pressure.

On the daily chart, the price appears to be approaching a 61.8% Fibonacci retracement level from the recent high. This level, approximately 0.03445, could offer near-term support or trigger further downside if broken. The 20-period and 50-period moving averages are bearishly aligned on the 5-minute chart, while the 50- and 200-period daily averages remain neutral but trending lower.

Looking ahead, a retest of 0.03445 is likely, with a potential pullback to the 38.2% Fibonacci level around 0.03475 if buyers step in. However, given the current momentum and volume flow, there remains a risk of a continuation below 0.03445 into 0.03425. Investors should monitor volume for signs of divergence and whether the 0.03445 level holds as a key inflection point.