Newton Protocol/Tether (NEWTUSDT) Market Overview: Volatile 24-Hour Move, Strong Volume

Summary
• NEWTUSDT declined from 0.1156 to 0.1132 in 24 hours amid increased volume and erratic price swings.
• Key support appears at 0.1113 following a large 15-minute sell-off to 0.1073.
• Volatility expanded with a sharp drop in the early hours followed by a partial rebound.

Newton Protocol/Tether (NEWTUSDT) opened at 0.1156 on 2025-11-04 at 12:00 ET, reached a high of 0.1167 and a low of 0.1070, closing at 0.1156 on 2025-11-05 at 12:00 ET. Total 24-hour volume was 5,484,915.9, with a notional turnover of approximately $610,563.

Structure & Formations

Price action over the 24-hour period showed multiple bearish and bullish signals. A sharp bearish engulfing candle formed on 2025-11-04 at 20:30 ET, sending price to 0.1073, a 4.3% drop in one candle. This marked a key support level. A later bullish reversal was observed from 0.1113 as volume surged, signaling potential buying interest. A potential descending triangle formation emerged, with resistance at 0.1155–0.1164 and support at 0.1113–0.1120.

Moving Averages

On the 15-minute chart, the 20-period and 50-period SMAs crossed multiple times, indicating a choppy and directionless market. Price spent most of the 24-hour period below both moving averages, with a few brief retests. On the daily chart, the 50-period SMA sits at approximately 0.1145, above the 200-period SMA of 0.1133, suggesting a potential medium-term bullish bias.

MACD & RSI

MACD showed a bearish crossover early in the session, followed by mixed momentum, with a weak bullish divergence in the final hours. RSI hit oversold territory below 30 multiple times, notably on the 20:30 ET candle, which may indicate a potential rebound. However, the RSI failed to confirm a strong bounce, suggesting traders remain cautious.

Bollinger Bands

Volatility spiked on the 20:30 ET candle, breaking through the lower band to 0.1073, a strong bearish signal. Price retested the lower band again briefly at 0.1113, but failed to close below. The upper band peaked at 0.1164, and price hovered near the upper band in the final 4 hours, suggesting growing buyer interest.

Volume & Turnover

Volume spiked significantly on the 20:30 ET candle (523,939.7), signaling strong distribution. Notional turnover followed suit, with a large sell-off at that time. Later in the session, a strong volume bar at 05:15 ET (38,331.7) confirmed the rebound. Divergence between volume and price was minimal, with the largest moves confirmed by increased participation.

Fibonacci Retracements

Applying Fibonacci levels to the 0.1073–0.1167 swing, price retested the 61.8% level (0.1129) multiple times, failing to break above. This suggests 0.1129–0.1134 may act as a pivot zone. A key breakout above 0.1156–0.1164 may signal a resumption of the daily bullish bias, while a retest of the 38.2% level (0.1149) could offer a short-term support.

Backtest Hypothesis

The backtesting strategy assumes that positions are opened at the open price and held for a maximum of five days, with no additional risk controls like stop-loss or take-profit. Given today's erratic price swings and volume spikes, such a strategy would have faced multiple whipsaw scenarios. The 20:30 ET sell-off and 05:15 ET rebound could have triggered mixed signals. Traders using this approach must remain cautious in highly volatile environments like this one, where short-term momentum shifts rapidly.