Market Overview for dogwifhat/Tether (WIFUSDT): 24-Hour Technical Analysis as of 2025-10-17 12:00 ET

• WIFUSDT declined 11.5% from 0.532 to 0.507 over the last 24 hours amid bearish momentum and volume spikes.
• A breakdown below key support at 0.510 triggered further short-term selling, with RSI signaling oversold conditions.
• Volatility expanded as Bollinger Bands widened, suggesting a potential reversal or continuation of trend.
• Strong negative divergence between price and RSI indicates potential for a countertrend rebound near 0.500.
• Fibonacci retracement levels suggest 0.523 (38.2%) and 0.535 (61.8%) as potential resistance in a rebound scenario.

WIFUSDT opened at 0.532 (12:00 ET – 1), reached a high of 0.540, touched a low of 0.472, and closed at 0.507 (12:00 ET) over the past 24 hours. Total volume was approximately 42.8 million, while notional turnover reached $18.8 million. The pair showed significant volatility, particularly after the breakdown of the 0.515 support level, with a bearish continuation apparent in the 15-minute chart structure.

Structure and formations over the 24-hour period revealed a bearish trend, supported by key support and resistance levels. The price broke decisively below the 0.523–0.528 range, confirming the downtrend. A notable bearish engulfing pattern formed on the 16:00 ET candle, followed by a long lower wick on the 17:00 candle, suggesting rejection at higher levels. A bearish flag pattern emerged in the late ET hours as prices drifted lower. Fibonacci retracements show 0.500 as the next potential support level, with 0.523 (38.2%) and 0.535 (61.8%) as possible retracement targets in a potential bounce.

Moving averages on the 15-minute chart confirmed the bearish bias. The 20-period and 50-period MA lines both crossed below price action, indicating a short-term bearish setup. On the daily chart, the 50-period MA sits above the 100- and 200-period lines, suggesting a more extended bearish momentum. Price closed well below all key MAs, reinforcing the potential for continued downside.

MACD and RSI metrics further confirm bearish momentum. RSI has fallen into oversold territory at 28, suggesting potential for a near-term bounce. However, divergence in the indicator—where RSI failed to make lower highs despite lower price lows—indicates caution around further bearish continuation. MACD remains in negative territory with a bearish crossover, signaling that momentum is still in favor of the short side. Bollinger Bands are expanding, reflecting increased volatility, with price hovering near the lower band, hinting at potential exhaustion in the downside move. These readings suggest a short-term rebound is possible, but the overall bias remains bearish for the next 24 hours.

The volume profile for the 24-hour period shows a significant increase in selling activity following the breakdown below the 0.520 level. Notional turnover spiked sharply after 18:00 ET, coinciding with the price low of 0.472. However, volume in the subsequent rebound was relatively weak, pointing to a lack of conviction in the buying side. A divergence between volume and price action—where volume tapers off during the recent price bounce—suggests a potential exhaustion of short-term bullish momentum. Investors should watch for volume confirmation or divergence as the price tests the 0.500–0.515 range for clues on whether the downtrend will continue or reverse.

Backtest Hypothesis

Given the bearish confirmation from multiple technical indicators, a potential backtesting strategy could focus on a short-biased approach with a stop-loss placed just above the most recent swing high. The RSI’s entry into oversold territory and the divergence it showed could also be used to set a target for a countertrend long entry near 0.500, with a stop-loss below 0.495. For a more advanced strategy, the Fibonacci levels (0.523, 0.535) could serve as dynamic resistance zones for shorting or exiting long positions. To implement this, manual calculation of RSI from the close data can be used, with a 14-period smoothing applied. This strategy would benefit from volume confirmation to ensure the strength of the move and avoid false signals.