Initia/Tether Market Overview: Bullish Momentum Amid Volatility Expansion

• Initia/Tether (INITUSDT) ended 24 hours near a key resistance level of $0.3255, after forming a bullish engulfing pattern in late ET hours.
• RSI entered overbought territory above 70, while MACD showed a bullish divergence with a rising histogram.
• Volatility expanded through 23:45 ET as price surged above $0.3250, with volume increasing by 67% in the final 6 hours.
• Price rejected at the upper Bollinger Band near $0.3381 but bounced off a 61.8% Fibonacci retracement level of the prior 15-minute pullback.
• Turnover surged 6x from 00:15 ET as buyers capitalized on a sharp rebound from a low of $0.3183.

Initia/Tether (INITUSDT) opened at $0.3184 on 2025-10-04 at 12:00 ET, surged to a high of $0.3381, and closed at $0.3295 on 2025-10-05 at 12:00 ET. The 24-hour volume totaled 6.3 million contracts, with a notional turnover of $2.05 million. Price rallied over 5% in the final 7 hours, forming a bullish engulfing pattern on a 15-minute chart as demand picked up sharply.

The structure of the candlestick data reveals multiple key resistance and support levels. Price found strong support at $0.3183 and $0.3250, with the 20-period and 50-period moving averages both trending upward by the close. A 61.8% Fibonacci retracement level from a 15-minute swing high at $0.3381 to a low of $0.3250 aligned with a recent pivot of $0.3290, suggesting a potential consolidation point. The Bollinger Bands widened as price tested the upper band, indicating an increase in volatility.

MACD crossed above the signal line in the late ET hours, forming a bullish crossover, while the histogram showed a divergence with price after a brief dip in the 05:00–06:00 ET window. RSI reached a peak of 75 in the 03:00–04:00 ET window, hinting at potential overbought conditions. The combination of diverging momentum and price suggests a possible short-term reversal, though buyers appear to have control for now.

Price action aligned closely with Bollinger Bands and Fibonacci retracements during the volatility expansion, suggesting that traders are capitalizing on well-defined levels. Notably, volume surged in the 02:45–03:15 ET window as price broke above $0.3290, reinforcing the strength of the move. The 67% increase in volume over the final 6 hours confirms that the rally is not a one-off event, but a more sustained accumulation phase.