REI Network/Tether Market Overview

• REIUSDT posted a 24-hour high of $0.01836 amid moderate volatility and rising volume.
• A bullish breakout above the 0.0182–0.0183 resistance cluster occurred after 04:15 ET.
• RSI hit overbought territory by mid-morning, while volume surged 4.5x at the session peak.
• Bollinger Bands widened significantly, reflecting heightened short-term price swings.
• A bearish correction emerged after 06:45 ET, suggesting potential for consolidation.

REI Network/Tether (REIUSDT) opened at $0.01794 at 12:00 ET–1 and closed at $0.01796 at 12:00 ET, hitting a high of $0.01836 and a low of $0.01785. Over the 24-hour period, the pair recorded a total volume of 3,696,484.5 units and a notional turnover of $65,688.60. The price action displayed a late-night breakout, followed by consolidation and a sharp pullback in early morning hours.

Structure & Formations

Price formed a key bullish breakout above the 0.0182–0.0183 resistance range on rising volume after 04:15 ET, with a high of $0.01836. A subsequent pullback from overbought RSI territory and the 61.8% Fibonacci level of the prior bearish leg (0.01836–0.01796) led to a bearish correction below the 0.0182 level. Key support levels identified include 0.0180, 0.01795, and 0.0179, with the latter showing a potential reversal signal after 06:45 ET.

Moving Averages

On the 15-minute chart, the 20- and 50-period moving averages crossed positively between 04:00 and 04:30 ET, confirming the breakout. The 20SMA has remained above the 50SMA since, suggesting short-term bullish momentum. Daily MAs (50/100/200) remain aligned in a mixed setup, with the 50DMA slightly above the 100DMA but below the 200DMA, signaling a potential consolidation phase ahead.

MACD & RSI

MACD crossed into positive territory around 04:30 ET, confirming the breakout, and remained above the signal line into the morning, but started to diverge slightly from price after 07:00 ET. RSI hit overbought territory (above 70) by 05:00 ET, suggesting short-term exhaustion. A bearish divergence emerged in the late morning as RSI declined while prices showed limited follow-through, indicating possible bearish momentum ahead.

Bollinger Bands

Bollinger Bands widened significantly overnight, reflecting increased volatility. Price briefly touched the upper band at $0.01836 before retracting. Currently, it sits near the middle band at $0.01816, which may serve as a dynamic pivot point. A further expansion or contraction in band width could signal a continuation or reversal in the near term.

Volume & Turnover

Volume spiked to a 24-hour high of 2.14 million units at 04:15 ET, coinciding with the breakout above $0.01836. Turnover surged to a peak of $3,887 at that time. However, volume declined significantly in the following hours despite ongoing price action, suggesting a potential loss of conviction. A divergence between price and volume in the early morning suggests caution for bullish continuation.

Fibonacci Retracements

Fibonacci retracements on the latest bearish swing (0.01836–0.01796) show key levels at 0.01816 (38.2%) and 0.01804 (61.8%), both of which have been tested in the morning. The 61.8% level at $0.01804 has shown strong bearish rejection, reinforcing its importance. A rebound from this level may trigger a countertrend rally, though a break below $0.01796 would extend the correction phase.

Backtest Hypothesis

The described backtesting strategy emphasizes a trend-following breakout approach, triggered when price closes above the 20-period EMA with volume above 2x the 20-period average. Stop-loss is set at the 50-period SMA, and take-profit is placed at the 61.8% Fibonacci extension. Given today’s data, the breakout at $0.01836 met the entry criteria, with volume significantly above average. A stop-loss would have been triggered if price had broken below $0.01804, which occurred late morning, limiting the trade. This suggests the strategy would have captured part of the bullish move but incurred a partial loss on the subsequent pullback.