NKN/Tether (NKNUSDT) Market Overview for October 5, 2025

• Price opened at 0.0257, reached 0.0280, and closed at 0.0269 over 24 hours.
• Strong bullish momentum seen in early morning with a sharp 5% rally from 0.0268 to 0.0279.
• Volatility expanded significantly during the rally, with Bollinger Bands widening.
• Volume surged during the morning spike, with 4.3 million contracts traded in the 09:00–09:15 ET candle.
• RSI hit overbought territory near 80, suggesting potential near-term pullback.

NKN/Tether (NKNUSDT) opened at 0.0257 on October 4 at 12:00 ET and closed at 0.0269 the following day at the same time, reaching a high of 0.0280 and a low of 0.0257 over the 24-hour period. Total volume traded was 22.19 million contracts, with a notional turnover of approximately $595,500.

The price action formed a bullish reversal pattern on the morning of October 5, as NKNUSDT broke above a tight consolidation range after hours of sideways movement. A strong bullish engulfing pattern emerged between 09:00 and 09:30 ET, confirming the breakout with high volume and sharp price acceleration. A key resistance level at 0.0279 was tested and broken, with 0.0270–0.0271 emerging as immediate support. The 50-period and 200-period moving averages on the 15-minute chart crossed in the morning, indicating a short-term bullish tilt.

MACD showed a strong bullish divergence in the early morning, with the histogram expanding alongside rising prices. RSI reached overbought levels (above 80) around 09:15 ET, suggesting near-term profit-taking pressure. Bollinger Bands expanded significantly during the breakout, with prices trading well above the upper band for a short period, indicating heightened volatility. The 20-period moving average remained above the 50-period line throughout, reinforcing the bullish bias on shorter timeframes.

Volume surged in the early hours, particularly between 09:00 and 10:15 ET, with over 10 million contracts traded in just 75 minutes. This volume confirmed the breakout and reinforced the validity of the price move. Turnover aligned with the volume surge, showing no divergence from the price action. Fibonacci retracement levels showed the 0.0270–0.0271 zone as a key 61.8% retracement level from the 0.0268–0.0280 move, indicating potential support for a pullback.

Backtest Hypothesis

The breakout and strong volume suggest a potential continuation of the bullish trend in the next 24 hours. A backtest strategy could target entries on a retest of the 0.0270–0.0271 support level with a stop loss below 0.0268. A 0.0274–0.0275 target aligns with the 61.8% Fibonacci extension and could serve as an initial profit target. Given the strong RSI divergence, a pullback or consolidation phase may precede a resumption of the upward move. Investors should remain cautious as overbought conditions may invite a short-term correction.