Market Overview for Sign/Tether (SIGNUSDT) as of 2025-10-03 12:00 ET

• SIGNUSDT traded in a tight range during the 24-hour period, with a high of $0.06766 and low of $0.06559.
• Price action shows consolidation after an early morning rally, with mixed momentum across the RSI and MACD indicators.
• Volume spiked in late hours, particularly around 09:45 ET, coinciding with a sharp pullback in price.
• Bollinger Bands showed moderate expansion, with price hovering near the mid-band, indicating low directional bias.
• No strong reversal patterns emerged, but bearish divergence in the RSI suggests potential for a downward correction.

The 24-hour chart for Sign/Tether (SIGNUSDT) opened at $0.06624 on 2025-10-02 12:00 ET and closed at $0.06796 on 2025-10-03 12:00 ET, with a high of $0.06839 and a low of $0.06559 during the period. Total traded volume reached approximately 19,101,305 USDT, with a notional turnover of around $1,283,519 (based on average price). Price action shows a choppy, range-bound session with a late-day breakout attempt that failed to hold.

Structurally, key support levels formed around $0.0661–$0.0664, reinforced by multiple candlestick closures near these levels. Resistance appeared at $0.0675–$0.0677 and $0.0680, with a sharp rejection seen at the latter during the 15:45–16:00 ET time frame. A long lower wick at $0.06704 on the 16:00 candle suggests a failed attempt to break lower, while a long upper wick at $0.06839 on the 16:00 ET candle indicates a rejection at the daily high. A bearish engulfing pattern formed at $0.06766, signaling potential downward bias.

Moving averages on the 15-minute chart indicate a bullish short-term bias, with the 20SMA above the 50SMA and both moving upward. On the daily chart, the 50DMA is above the 100DMA but below the 200DMA, suggesting a neutral to slightly bullish trend at the higher time frame. Price is trading above the 20SMA but below the 50DMA, indicating mixed sentiment across time frames.

The MACD crossed below zero in the latter half of the session, suggesting a loss of bullish momentum and possible bearish shift. RSI reached overbought territory briefly at $0.06839 but failed to sustain above 70, indicating limited conviction. It later dipped into oversold territory at $0.0658 and pulled back, forming a potential divergence with price. Bollinger Bands widened slightly in the morning and narrowed during consolidation, with price remaining within the band but closer to the mid-line, suggesting no strong directional pressure.

Volume was relatively low in the first half of the session, but a sharp increase occurred post-09:00 ET, with a peak at 09:45 ET where over 1.5 million USDT changed hands. This coincided with a sharp drop from $0.06655 to $0.06601. Turnover spiked during the same period, confirming the price movement. The divergence between volume and price could indicate a potential exhaustion of the current trend or the start of a new one.

Fibonacci retracement levels drawn from the morning high of $0.06839 to the low of $0.06559 indicate key support at $0.0667 (38.2%) and $0.0662 (61.8%). Price tested both levels during the session and found support at $0.0662 but failed to hold at $0.0667. The 61.8% level may now act as a critical area to watch for further bearish moves or a potential reversal.

Backtest Hypothesis

The strategy under backtest focuses on identifying early-stage bearish divergences in the RSI while price remains within a defined range. Specifically, it looks for a scenario where RSI forms lower highs while price makes higher highs, indicating weakening bullish momentum. This was observed around 09:45 ET, where RSI peaked near 60 but failed to rise with price, which pushed up toward $0.06655. The strategy would initiate a short trade with a stop above the 20SMA and target the next Fibonacci level at $0.0662. If confirmed by volume and price action, this approach could yield a risk-reward of approximately 1:1.5 based on the defined levels. The use of the 20SMA as a stop aligns with the strategy's emphasis on short-term trend dynamics and immediate volatility. The RSI divergence and Fibonacci targets provide a structured approach to capitalize on potential bearish continuation.