Market Overview: Trust Wallet Token/Tether (TWTUSDT) - 24-Hour Action

• TWTUSDT traded in a 24-hour range of $1.231–$1.271, closing near 1.261 after an initial dip to 1.231.
• A strong rebound emerged overnight, forming a bullish channel with support at 1.244 and resistance at 1.265.
• Price action shows high volatility with volume spikes during key breakout attempts.
• RSI suggests moderate overbought conditions, while MACD hints at strengthening bullish momentum.
• Bollinger Bands expanded overnight, reflecting increased market participation and risk-on sentiment.

Trust Wallet Token/Tether (TWTUSDT) opened at 1.2451 on 2025-10-31 16:00 ET and traded as low as 1.231 during the early afternoon dip before rallying sharply overnight. The 24-hour high reached 1.271, and it closed at 1.261 on 2025-11-01 12:00 ET. Total volume amounted to 2,955,613.0 units with a turnover of $3,738,316.00, reflecting intense market activity during key price moves.

The price action over the last 24 hours reveals a textbook breakout pattern forming in the 1.244–1.265 range, supported by a strong upward bias overnight. A bullish engulfing pattern occurred around 16:30 ET (2025-10-31) and again early in the morning hours on 2025-11-01. These patterns often signal a shift in sentiment from bearish to bullish and were confirmed by surges in volume.

The 20-period and 50-period moving averages on the 15-minute chart both sloped upward during the rally, aligning with the bullish trend. Additionally, the 50-period MA crossed above the 100-period MA on the daily chart, reinforcing the idea that TWTUSDT is in a short-to-medium-term uptrend. The RSI hit the 60–65 range in the early morning, suggesting moderate overbought conditions, but not extreme enough to trigger a sell-off.

MACD showed a clear bullish divergence with a positive crossover occurring during the overnight rally. Bollinger Bands expanded significantly in the late hours, reflecting growing volatility and increased market attention. Price tested the upper band twice without breaking through, indicating that buyers are stepping in at higher levels, but caution is warranted as the upper boundary is forming a potential resistance.

The Fibonacci retracement tool applied to the recent swing low at 1.231 and swing high at 1.271 identified key levels at 1.244 (38.2%), 1.252 (50%), and 1.262 (61.8%). The current close of 1.261 aligns closely with the 61.8% level, suggesting a consolidation phase could follow before a potential push toward 1.271. However, a pullback to 1.252 or 1.244 could also provide retracement opportunities for longs.

Looking ahead, TWTUSDT may face near-term resistance at 1.265–1.271 with support at 1.252 and 1.244. A break above 1.265 could trigger a retest of the 1.271 high with increased conviction. Conversely, a pullback below 1.252 could test the 1.244 level before resuming higher. Traders should remain cautious, as the RSI is near overbought territory and a sharp correction is always possible in a fast-moving asset like TWTUSDT.

Backtest Hypothesis
A backtest based on the "Bullish Engulfing" pattern could yield meaningful insights into the short-term performance of TWTUSDT, particularly in the context of the overnight rebound. Given the pattern’s appearance at key turning points, such as around 16:30 ET and in the early morning, and the subsequent volume confirmation, a one-day-hold strategy could offer a reasonable basis for evaluating its predictive value. The strategy would entail entering a long position upon confirmation of the engulfing pattern (close of the engulfing candle) and exiting at the close of the next day. If historical data on past occurrences of this pattern is available, it would provide a clearer view of its efficacy and risk profile on this pair.