BNTUSDT Market Overview: Bearish Divergence and Oversold Conditions

• Price declined from 0.7247 to 0.6940 amid bearish momentum and high volume sell-offs.
• RSI below 30 and MACD bearish divergence suggest oversold conditions.
• Bollinger Band contraction and Fibonacci 61.8% level near 0.7000 highlight key support.
• Volume surged in the latter half, but price failed to recover.
• Engulfing bearish patterns and low open/high spreads point to weak buying pressure.

Bancor/Tether (BNTUSDT) opened at $0.7247 on October 6, 2025, and traded between $0.7247 and $0.6909 over the 24-hour period, closing at $0.6940 at 12:00 ET on October 7. The total volume was 33319.9 BNT, and notional turnover reached a peak during the late afternoon sell-off.

The pair formed multiple bearish candlestick patterns, including engulfing candles and weak doji-like bodies during consolidation. Price action showed a clear breakdown from key resistance levels around 0.718–0.724, failing to recover even during short-term attempts. The 20-period and 50-period moving averages on the 15-minute chart crossed in bearish territory, confirming downward pressure. The 50-period daily SMA also acted as a short-term resistance, now potentially becoming a key support level if price finds a bottom.

MACD showed bearish divergence as price hit a new low but momentum did not follow through, a classic warning sign. RSI dropped below 30, indicating oversold conditions, though this may not immediately trigger a bounce due to the strength of the bearish narrative. Bollinger Bands contracted in the early morning hours before expanding during the sharp sell-off, suggesting a potential shift in volatility. The 20-period Bollinger Band midpoint currently sits above the price, reinforcing bearish bias.

Fibonacci retracement levels for the recent 15-minute swing show 0.7001 (61.8%) as a critical support level, which was nearly broken before a partial rebound. On the daily chart, the 61.8% retracement of the broader move is near $0.7000–0.7036, aligning with recent consolidation. Divergences between price and volume suggest that while selling pressure increased, it may be exhausting as buyers show no signs of stepping in.

The backtest hypothesis draws on the combination of RSI oversold levels and bearish divergence with volume patterns. A potential strategy could involve short entries once price breaks below the 61.8% Fibonacci support at $0.7001, with a stop just above the 0.7050–0.7060 level, and a target toward the 0.6900–0.6950 zone. This would align with the MACD and RSI signals and the current bearish momentum. A trailing stop could be considered once price shows signs of consolidation below $0.7001, with the aim of capturing the continuation of the downward trend.