Market Overview for Cookie DAO/Tether (COOKIEUSDT)

• Cookie DAO/Tether traded in a consolidation pattern before surging to a 24-hour high of $0.1051 late in the session.
• Momentum accelerated sharply in the last 6 hours, with RSI moving out of oversold and into bullish territory.
• Bollinger Bands expanded significantly, indicating rising volatility and a potential continuation of the upward move.
• Volume spiked over 1.98 million contracts during the breakout phase, confirming strong buying interest.
• A bullish engulfing pattern formed near the 0.0935–0.0951 range, suggesting potential for a reversal from prior bearish pressure.

Cookie DAO/Tether (COOKIEUSDT) opened at $0.0953 on 2025-10-26 at 12:00 ET, and traded as low as $0.0935 before launching to a 24-hour high of $0.1051. The pair closed at $0.1026 at 12:00 ET on 2025-10-27. Total volume for the 24-hour window reached 7.56 million contracts, with turnover hitting $725,840. The price action displayed a clear consolidation before a sharp breakout, indicating a shift in sentiment from indecision to strong bullish momentum.

Price initially tested the 0.0935 level in the early afternoon, where it found support and formed a bullish engulfing pattern. This was followed by a steady rally, with the 20-period EMA lagging behind the 50-period EMA, suggesting a strengthening uptrend. MACD crossed above zero, confirming the bullish shift, while RSI moved from 30s into the 60s, indicating a move out of oversold conditions and into balanced momentum. Bollinger Bands expanded as price volatility increased, with the close of the session landing just below the upper band, hinting at the potential for further upside.

Fibonacci retracement levels derived from the 0.0935–0.1051 swing identified key resistance at 61.8% (~$0.1019) and 78.6% (~$0.1047), both of which were tested and exceeded in the final 6 hours. The 38.2% level (~$0.0973) appears to have acted as a temporary support during the consolidation phase. Volume spiked significantly during the breakout phase, especially between 10:00 PM and 12:00 AM ET, with over 1.98 million contracts traded during that period. This aligns with price surging past key resistance, suggesting strong conviction among buyers.

The price may continue to test the 61.8% Fibonacci level, with a potential pullback to the 50-period EMA (~$0.0996) offering a key entry opportunity. However, caution is advised as volatility remains elevated and overbought RSI could trigger a short-term correction. Traders should watch the 0.1026 close as a near-term pivot; a break above could target $0.1047, while a failure to hold above $0.1001 may invite a retest of the 0.0973 support.

Backtest Hypothesis
Given the recent bullish engulfing pattern at $0.0935–$0.0951 and the subsequent breakout above key Fibonacci levels, a backtest could be constructed using the "Bullish Engulfing" candlestick pattern as an entry signal. This strategy would enter long positions on confirmation of the pattern and hold for 3 days.

However, the initial attempt to backtest this pattern was hindered by the invalid ticker used. To proceed effectively, it is critical to confirm which ticker(s) should be used—likely the correct one would be HOLD.P (Harbor Alpha Layering ETF), not BLSH.N. If HOLD.P is selected, we can re-run the backtest using historical data from 2022-01-01 to today. A benchmark such as the S&P 500 ETF (SPY) could be used for comparative performance analysis. This approach would help validate the strategy’s robustness before applying it to COOKIEUSDT or other similar assets.