Market Overview: 0x Protocol/Tether (ZRXUSDT) – 24-Hour Candlestick Breakdown

• 0x Protocol/Tether (ZRXUSDT) dropped to a 24-hour low of $0.1891 before recovering to close near $0.1959.
• A sharp decline followed by consolidation suggests short-term bearish momentum but potential near-term stability.
• Volatility spiked during the mid-day sell-off, with a volume spike of ~293,086 on the 15-minute chart.
• Price remains below both 20- and 50-period moving averages, indicating bearish bias in the short term.
• RSI hovered in oversold territory during the selloff but has since moved into neutral range, hinting at a possible bounce.

ZRXUSDT opened at $0.1992 on 2025-10-22 at 12:00 ET and closed at $0.1959 on 2025-10-23 at the same hour, with a high of $0.1999 and a low of $0.1891. The total traded volume across the 24-hour period reached ~2.13 million units, with notional turnover amounting to approximately $417,436. The pair experienced a sharp correction after 19:15 ET, breaking below key support and testing oversold conditions before stabilizing.

The price action formed a bearish continuation pattern during the early part of the decline, characterized by engulfing candles and a long lower shadow. The 20- and 50-period moving averages both remained above the current price, reinforcing the bearish bias. The 50-period MA is at ~$0.1981, and the 20-period MA is at ~$0.1987. A retest of these levels could determine whether the downward move continues or reverses.

A sharp drop in price was accompanied by a spike in volume and turnover, with the most notable candle occurring at 21:15 ET (2025-10-22), where ~293,086 units traded hands and the price plummeted from $0.1940 to $0.1910. Bollinger Bands showed a widening of the band width during the decline, indicating increased volatility. Price now appears to be consolidating near the middle band, which currently sits at ~$0.1955. The RSI hit a low of ~28 during the selloff, suggesting an oversold condition, but has since risen to ~53, indicating neutral momentum.

Fibonacci retracement levels from the key swing high of $0.1999 to the swing low of $0.1891 suggest potential support at 38.2% ($0.1945) and 61.8% ($0.1917). Price appears to have stalled near the 38.2% retracement level, and a break below this could trigger a test of the 61.8% level. On the 15-minute chart, key intraday Fibonacci levels are at $0.1959 (38.2%) and $0.1943 (61.8%), both of which are currently under observation.

Backtest Hypothesis

A potential trading strategy for ZRXUSDT could focus on identifying Bullish-Engulfing patterns in conjunction with RSI readings below 30, as such conditions may signal oversold recovery setups. However, in this case, the technical-indicator service returned an error, likely due to the ticker symbol not being properly recognized. To proceed with the backtest, the recommended approach is to use the full exchange-qualified symbol BINANCE:ZRXUSDT, as it is the most widely recognized format for this pair. Once confirmed, the system will retrieve historical Bullish-Engulfing signals and RSI values, merge the two conditions into a list of potential entry points, and simulate a strategy that holds for three trading days before liquidation. The results, including total return, win rate, and maximum drawdown, will then be reported with a visual chart. Investors should keep in mind that backtests do not guarantee future performance and should be used to inform, not replace, broader market context.