Market Overview: 0x Protocol/Tether (ZRXUSDT)

• Price declined from 0.1998 to 0.1781 over the last 24 hours, forming a bearish trend.
• Volume surged to 1256014 at 15:30 ET, coinciding with a sharp price drop.
• RSI dipped to oversold levels, suggesting potential for a near-term rebound.
• Bollinger Bands widened, indicating increased volatility and mixed momentum.
• A bearish engulfing pattern formed around 18:00 ET, signaling a possible continuation of the downtrend.

The ZRXUSDT pair opened at 0.1948 on 2025-11-02 12:00 ET and closed at 0.1784 on 2025-11-03 12:00 ET, with a high of 0.1998 and a low of 0.1704 during the 24-hour period. Total trading volume reached 9,397,425. The price action shows a broad bearish bias, with significant bearish momentum in the second half of the window.

Structure & Formations

The daily chart displays a key support level forming around 0.1704–0.1781, coinciding with a large bearish candle on 15:30 ET. Notable bearish patterns include a bearish engulfing formation at 18:00 ET and a potential hanging man at 05:00 ET. Resistance remains weak at 0.185–0.187, where price has bounced multiple times in the morning sessions.

Moving Averages

On the 15-minute chart, price has closed below both the 20-period and 50-period moving averages, reinforcing bearish bias. Daily data shows price below the 50, 100, and 200-period averages, indicating continued bearish pressure.

MACD & RSI

The MACD line crossed below the signal line multiple times, particularly during the late afternoon of 11/02 and early evening of 11/03, reflecting bearish momentum. RSI dropped to the 20–30 oversold zone, suggesting a possible short-term bounce, although divergence remains a concern. The RSI histogram has been narrowing, which could precede a reversal or further decline.

Bollinger Bands

Volatility has expanded dramatically during the sharp sell-off on 15:30 ET, with price plunging to the lower band at 0.1704. The bands were relatively narrow earlier in the morning, indicating a consolidation phase before the breakout. Price remains near the lower band, suggesting bearish momentum remains intact.

Volume & Turnover

Trading volume spiked to 1,256,014 at 15:30 ET as price broke below 0.1800 and hit a session low. This was accompanied by a sharp drop in turnover to 0.1781, suggesting aggressive selling pressure. Divergences between price and volume were noted in the morning session, where volume was relatively high but price consolidation suggested indecision.

Fibonacci Retracements

Applying Fibonacci to the recent 15-minute swing high of 0.1998 and low of 0.1704, key retracement levels appear at 0.1856 (38.2%) and 0.1808 (61.8%). Price has bounced off the 61.8% level multiple times, suggesting it may act as a short-term support. A break below 0.1704 could target the next Fibonacci level of 0.1656.

Backtest Hypothesis

A potential backtesting strategy could focus on the bearish engulfing pattern observed at 18:00 ET. If applied to historical data, this pattern could be used to evaluate the frequency and strength of bearish continuation signals. A back-test would assess the average price decline following such formations and evaluate their success rate across varying timeframes. This could provide valuable insights into whether the pattern is reliable for entry signals in ZRXUSDT, particularly during high volatility periods.