COWUSDC Breaks Key Resistance — But Overbought RSI Raises Red Flags

Summary
• Price surged above key resistance at $0.1585 to reach $0.1619 before consolidating near $0.1624.
• Volume spiked dramatically around 03:15 ET as price broke higher, confirming bullish momentum.
• RSI moved into overbought territory, suggesting potential pullback, while Bollinger Bands expanded, signaling increased volatility.
• A bullish engulfing pattern formed around 17:30 ET as price moved decisively higher.
• Daily closing price of $0.1624 shows strength above 20-period moving average on 5-minute chart.

CoW Protocol/USDC (COWUSDC) opened at $0.1559 on 2026-02-06 12:00 ET, hit a high of $0.1639, a low of $0.1543, and closed at $0.1621 as of 12:00 ET on 2026-02-07. Total volume reached 213,312.7 and turnover hit $34,293.66 over the 24-hour period.

Price action displayed strong upward bias after breaking through key resistance levels. The 5-minute 20-period moving average was decisively crossed above by 03:15 ET, suggesting short-term strength. MACD turned positive mid-session, reinforcing bullish momentum while RSI moved into overbought territory by 05:00 ET.

Bollinger Bands expanded significantly during the rally, reflecting heightened volatility, with price staying within the upper band. Volume spiked notably during the breakout at $0.1585 and $0.1619, suggesting strong buying pressure and confirmation of the bullish trend. A bullish engulfing pattern appeared at 17:30 ET, reinforcing the continuation case.

Looking ahead, price may test the $0.1639 high or face pullback toward the $0.1585 level, though overbought RSI suggests caution. Investors should monitor for signs of exhaustion or a breakdown below $0.1610, which could trigger short-term corrections.