USDE +11.02% in 24 Hours Amid Market Volatility

On OCT 11 2025, USDE rose by 11.02% within 24 hours to reach $0.999, USDE dropped by 7% within 7 days, dropped by 17.99% within 1 month, and dropped by 17.99% within 1 year.

The sharp 24-hour increase in USDE comes amid broader instability in the stablecoin market. While the token remains below the $1 parity level, it has managed to post a notable short-term recovery. The 7% decline over the past week highlights ongoing challenges in maintaining stable value, particularly against the backdrop of macroeconomic uncertainty and shifting investor sentiment in the stablecoin space. Analysts project that USDE's performance over the past month and year underscores a deeper structural issue in its peg maintenance, which may be linked to liquidity constraints or reserve transparency concerns.

Technical indicators suggest a mixed outlook for USDE. Short-term momentum appears to have gained strength, supported by a bullish reversal pattern observed in the latest candlestick formation. However, mid-term indicators like the 50-day and 200-day moving averages remain bearish, indicating continued downward pressure on the asset. The Relative Strength Index (RSI) has recently moved above 50, signaling a temporary shift in favor of buyers. Nonetheless, the broader trend remains negative, as reflected in the declining Moving Average Convergence Divergence (MACD) line and the bearish signal from the 200-day SMA.

Backtest Hypothesis

To evaluate the potential effectiveness of a strategy based on USDE's recent technical behavior, a backtesting framework was developed using the RSI and moving averages. The hypothesis tested involves entering a long position when the RSI crosses above 50 and the short-term moving average (e.g., 10-day) crosses above the long-term moving average (e.g., 50-day). A sell signal is triggered when the RSI falls below 50 or the short-term average crosses below the long-term average. This strategy is intended to capture short-term bullish momentum while limiting exposure during bearish trends. Given USDE’s recent volatility and mixed signals from technical indicators, this backtesting approach seeks to isolate high-probability trade setups amid broader market instability.