Market Overview for Dego Finance/Tether (DEGOUSDT)

Summary
• Price surged from 0.643 to 0.708 before consolidating near 0.67–0.68.
• Strong volume spikes seen during the 18:30–19:00 ET rally and 06:15–06:30 ET pullback.
• RSI and MACD suggest overbought conditions were met, followed by a pullback.

Dego Finance/Tether (DEGOUSDT) opened at 0.648 on 2025-11-07 at 12:00 ET and reached a high of 0.708 by 18:30 ET before settling at 0.672 as of 12:00 ET on 2025-11-08. The 24-hour volume was 9,127,982.03, with a notional turnover of $6,030,506.12. Price action indicates a volatile session with sharp corrections after key highs.

Structure & Formations

The price action displayed a strong bullish impulse from 0.643 to 0.708, followed by a consolidation phase between 0.67 and 0.69. A notable bearish reversal pattern appeared around 06:15–06:30 ET, marked by a large bearish candle that confirmed a pullback. Key resistance is around 0.708–0.711, while immediate support lies near 0.67–0.68. A potential double-bottom structure may form if 0.67 holds for the next 24 hours.

Moving Averages

On the 15-minute chart, the 20SMA (20-period Simple Moving Average) crossed above the 50SMA, indicating a short-term bullish bias. However, the daily chart shows the 50DMA (50-day Moving Average) sitting above the 200DMA, suggesting a longer-term bearish trend. The 100DMA currently acts as a potential pivot point at ~0.685. A crossover above the 100DMA may signal a short-term reversal, but it faces resistance from the 200DMA.

MACD & RSI

The MACD line turned negative during the consolidation phase, indicating a loss in upward momentum. RSI peaked at 65 during the rally, suggesting mild overbought conditions but not extreme levels. A pullback to the 48–52 range in RSI may indicate a period of balance. If RSI dips below 45, a deeper correction may follow.

Bollinger Bands

Volatility remained elevated during the rally, pushing prices to the upper band before retreating to the middle band. A contraction in the band width occurred after 00:00 ET, followed by a breakout attempt that failed. Price currently sits at ~0.672, slightly above the lower band, suggesting a potential retest of the 0.66–0.67 range.

Volume & Turnover

Volume spiked during the 18:30–19:00 ET rally and again during the 06:15–06:30 ET pullback. These spikes confirmed both the bullish and bearish moves, showing market conviction. However, volume has trended lower in the last 6 hours, indicating a potential period of consolidation. Turnover also declined after 08:00 ET, suggesting reduced liquidity.

Fibonacci Retracements

Applying Fibonacci to the recent 15-minute swing (0.643–0.708), the 38.2% retracement level is at ~0.68 and the 61.8% at ~0.66. Price currently hovers near the 61.8% level, which could either support or trigger a breakdown. Daily Fibonacci levels on a broader move (e.g., 0.50–0.75) suggest the 0.67–0.68 range as a potential floor.

Backtest Hypothesis

A potential strategy could be based on identifying Bullish Engulfing candlestick patterns on the 15-minute chart, as seen in the 17:30–17:45 ET session. If this pattern holds historically in this market, it may signal a short-term reversal and a long entry opportunity. However, due to the data-provider error, we cannot validate the historical accuracy of this pattern on DEGOUSDT. Investors should manually verify these signals and consider using alternative data sources for backtesting.