ETHJPY Market Overview: Volatility Intensifies Amid Divergent Momentum

Summary
• Price formed bullish engulfing patterns near 468,528 and 471,361 on 5-minute candles.
• Volatility spiked sharply with a high of 484,794 and low of 468,241, indicating strong price swings.
• RSI crossed into overbought territory in the afternoon session, suggesting possible near-term exhaustion.
• Bollinger Bands showed significant expansion, reflecting heightened market uncertainty.
• Turnover increased notably in the 00:15–02:30 ET period, coinciding with sharp price reversals.

Ethereum/Yen (ETHJPY) opened at 469,248 on 2025-12-21 at 12:00 ET, surged to a high of 484,794, dropped to a low of 468,241, and closed at 480,564 on 2025-12-22 at 12:00 ET. Total volume was 3,795.149 ETH, with a notional turnover of $1.838 billion.

Structure and Formations

Bullish engulfing patterns were observed around 468,528 and 471,361, indicating short-term buying pressure. The price also tested key support levels twice, bouncing off 468,241. Doji formed near 479,130 and 479,920, suggesting indecision in late trading. . Fibonacci retracements highlighted 61.8% levels around 476,240 and 483,420 as potential pivot points.

Moving Averages and Momentum

Short-term moving averages (20/50) were bullish in the morning session but showed signs of flattening toward the close. On the daily chart, the 50/100/200 SMA structure suggests a possible breakout from a consolidation pattern. RSI reached overbought levels in the afternoon, followed by a pullback into neutral territory, signaling potential for consolidation ahead.

Volatility and Bollinger Bands

Bollinger Bands expanded sharply during the peak volatility period (00:15–02:30 ET), with prices reaching the upper band multiple times. This expansion often precedes a period of consolidation or a breakout, depending on the persistence of directional momentum. Price remained within the bands for most of the day, indicating controlled volatility after the early spike.

Volume and Turnover

Turnover spiked in the early morning hours with the highest volume candle at 00:15 ET (120.076 ETH). Price and turnover aligned well during the morning rally, but divergence appeared in the afternoon as price moved lower despite moderate turnover. This may suggest weakening conviction among buyers.

Looking ahead, ETHJPY appears to be consolidating near the 480,000 level. A break above 483,420 could signal renewed bullish momentum, while a retest of 476,240 would test the strength of the support. Investors should remain cautious about overbought conditions and potential volatility clustering.