IOTA/Tether (IOTAUSDT) Market Overview

• IOTA/Tether opened at 0.1455, reached 0.1506, dropped to 0.1419, and closed near 0.1505.
• A bullish reversal was observed from ~0.1430 to 0.1506, with a final 2.8% rally in the last 45 minutes.
• Volume surged in the 04:00–09:00 ET window, suggesting accumulation at key support and resistance levels.
• RSI approached overbought (65–70), but MACD remained bullish, suggesting momentum is intact.
• Fibonacci 61.8% level at 0.1496 coincided with a resistance break, indicating strong short-term bullish pressure.

IOTA/Tether (IOTAUSDT) opened at 0.1455 on 2025-10-19 at 12:00 ET and closed at 0.1505 on 2025-10-20 at 12:00 ET. The pair reached a high of 0.1506 and a low of 0.1419 during the 24-hour period, with a total volume of ~13.7 million IOTA and a turnover of ~$2.16 million. Price action shows a clear short-term bullish trend, with a strong final push closing near the day’s high.

The 15-minute chart revealed a bullish engulfing pattern at ~0.1430, followed by a resistance break at 0.1506. A key support at 0.1430–0.1440 held briefly but was later pierced in the early hours of October 20. Resistance at 0.1506 acted as a temporary ceiling before the price closed just below it. A bearish divergence in the midday session did not last, as buyers retook control after 04:00 ET.

The 20-period MA on the 15-minute chart crossed above the 50-period MA around 0.1440–0.1450, signaling a bullish crossover. The 50-period MA on the daily chart remains below the current price, indicating that the daily trend is still in early accumulation. Bollinger Bands showed a moderate expansion during the 03:00–09:00 ET rally, with the close near the upper band, suggesting overbought conditions may persist.

RSI hit 65–70 in the final hour, signaling overbought territory, but MACD remained positive, indicating ongoing bullish momentum. Volume was highest between 04:00 and 09:00 ET, coinciding with the 0.1430–0.1506 move. Fibonacci 61.8% at 0.1496 acted as a strong pivot point, with the final close near the Fib 78.6% at 0.1502. These levels suggest the market may test 0.1506–0.1510 for confirmation in the next 24 hours.

The backtest strategy centered on a bullish engulfing pattern near the resistance level of 0.1506 over a 3.5-year window. Despite detecting numerous bullish engulfing bars, the ±0.005 filter around 0.1506 resulted in zero matching events, meaning no valid entry signals. This suggests either the resistance was not frequently tested with engulfing patterns or the proximity requirement was too strict.

A relaxed proximity band, such as ±0.010 or a relative band like ±3%, could yield a valid event list and allow the backtest engines to run. Alternatively, redefining the pattern as a bear-to-bull reversal where price closes below 0.1506 followed by an engulfing bar piercing the resistance may improve signal relevance. If no filter is used, the strategy may still show performance but with less precision in timing.