Market Overview for dYdX/Tether (DYDXUSDT) – 2025-10-14 12:00 ET

• dYdX/Tether (DYDXUSDT) traded in a broad intraday range today, posting a bearish close near support.
• Price tested key resistance at 0.3918 and failed to hold, with bearish momentum increasing in the final hours.
• Volatility expanded mid-day before retreating, while volume spiked during the midday break and again overnight.
• A potential bearish engulfing pattern emerged near the session close, suggesting short-term weakness.
• RSI and MACD were not available; however, price divergence suggests a potential overbought reversal failed.

Opening at 0.3647 and closing at 0.3544, dYdX/Tether (DYDXUSDT) recorded a 24-hour high of 0.3954 and a low of 0.3506. Total volume amounted to 28,572,342.82 and turnover reached 8,851.64. The session ended with a bearish drift, with price settling near the 0.3544 level and below critical support lines.

Structure & Formations

The candlestick structure over the past 24 hours displayed a bearish bias, with price testing key resistance at 0.3918 and falling back below it. A bearish engulfing pattern formed at the session's close, with a large bearish candle engulfing a smaller bullish one. This pattern may signal a potential reversal in the short term. Additionally, a doji-like pattern appeared in the 0.3550–0.3556 range, indicating indecision and a potential pause in the downward move.

Moving Averages

On the 15-minute chart, the 20-period and 50-period moving averages have remained above the price, indicating bearish momentum. The 50-period MA has acted as a resistance, with price failing to hold above it for most of the session. On the daily chart, the 100- and 200-period MAs are likely above current levels, suggesting a broader bearish trend continues for the time being. Price may test the 50-day MA as a possible support zone in the coming days.

MACD & RSI

Although the 14-period RSI and MACD were not available for direct calculation, the price action and volume flow suggest bearish momentum has increased in the final hours of the session. The failure to hold above key resistance levels implies an overbought reversal may have failed, leading to a bearish continuation. The MACD histogram, if available, likely would have shown bearish divergence in the final hours, with price making higher highs but the indicator forming lower ones, a classic bearish signal.

Bollinger Bands

Volatility expanded during the midday hours and later contracted as price approached the lower band. Price closed near the lower band, suggesting that the move lower could have some momentum, though caution is warranted as Bollinger Bands can signal mean reversion after such a move. A break below the lower band might trigger increased volatility and a test of the next support level.

Volume & Turnover

Volume was elevated during midday and again after the overnight lows, indicating key price levels were being contested. Turnover spiked during the 0.3506–0.3544 range, suggesting increased selling pressure. The divergence between price and volume is notable: as price declined, volume increased, confirming the bearish trend. However, a sharp drop in volume in the final hours could indicate a loss of momentum or a potential short-term pause in the decline.

Fibonacci Retracements

Applying Fibonacci retracements to the recent 15-minute swing from 0.3506 to 0.3954, the 61.8% level lies near 0.3696, which the price tested but failed to hold. The 50% level is near 0.3730, while the 38.2% level is at 0.3827, which the price touched before falling back. These levels may act as dynamic support or resistance in the coming days.

Backtest Hypothesis

The proposed backtesting strategy involves using a 14-period RSI to identify overbought (RSI > 70) and oversold (RSI < 30) conditions for potential long entry and exit signals. Given the current bearish momentum and failure to hold key resistance, this strategy could have limited effectiveness in the near term. However, if the asset enters an oversold condition in the coming days, it may present a potential long entry point. A successful backtest would require access to a full RSI time series for DYDXUSDT, which is currently unavailable. The strategy is best applied during periods of clear trending or oscillating behavior, rather than during high volatility or breakouts.