AInvest Newsletter
Daily stocks & crypto headlines, free to your inbox
Summary
• Price dropped sharply to 0.02816 before consolidating, forming a potential bullish reversal pattern.
• High volume during the 05:30–06:00 ET range suggests a potential shift in sentiment.
• RSI remains in oversold territory, indicating possible near-term rebound potential.
• Volatility expanded after 03:30 ET as price tested key support levels.
• Bollinger Bands widened, showing increased uncertainty in the market.
ChainGPT/Tether (CGPTUSDT) opened at 0.02992 on December 18 at 12:00 ET, reached a high of 0.02959, a low of 0.02784, and closed at 0.02911 by 12:00 ET on December 19. Total volume was 35,715,261.0, with a notional turnover of $1,044,866.4.
Structure & Formations
Price action displayed a sharp decline from 0.02992 to 0.02812, followed by a slow recovery. A potential bullish engulfing pattern emerged around 0.0282, which may signal a short-term reversal if it holds.

Moving Averages
On the 5-minute chart, the 20-period MA has dipped below the 50-period MA, indicating weakening short-term momentum. The 50-period MA remains above the 100 and 200-period MAs, suggesting the longer-term trend is still mildly bullish.
MACD & RSI
The MACD line crossed below the signal line, reinforcing bearish momentum. RSI has remained in oversold territory (below 30) for most of the session, hinting at potential short-term buying pressure. However, a prolonged oversold condition raises the risk of a delayed correction.
Bollinger Bands
Bollinger Bands expanded significantly after 03:30 ET as the price dropped below the lower band, signaling increased volatility and potential for a reversion. Price has since bounced and is now hovering near the middle band, indicating consolidation after a volatile phase.
Volume & Turnover
Volume spiked during the early morning hours (05:30–06:00 ET) and again at 03:30–04:00 ET, aligning with sharp price declines and subsequent rebounds. However, volume has cooled since mid-morning, suggesting diminished conviction in recent price movements. Notional turnover also peaked during the 03:30–04:00 and 05:30–06:00 ET periods, confirming the strength of those moves.
Fibonacci Retracements
Key Fibonacci levels for the 0.02992–0.02812 swing include 0.02868 (38.2%) and 0.02892 (61.8%). Price briefly tested both levels and has stalled near 0.02890–0.02900, suggesting that a break above 0.02918 could signal a short-term reversal.
Price appears to be in a consolidation phase following a sharp correction. A breakout above 0.02918 could drive renewed bullish momentum, but a failure to hold above 0.02890 may lead to renewed bearish pressure. Investors should watch for volume confirmation or divergence in the next 24 hours.
Decoding market patterns and unlocking profitable trading strategies in the crypto space
Daily stocks & crypto headlines, free to your inbox
Comments
No comments yet