Market Overview for Enjin Coin/Tether (ENJUSDT) – October 10, 2025

• ENJUSDT rallied from $0.0591 to $0.0635 before a sharp pullback near $0.0619, showing strong intraday volatility.
• Strong volume expansion was observed from $0.0593 to $0.0635, with a total notional turnover of $22.3 million.
• RSI and MACD signaled overbought conditions near $0.0635, followed by a bearish reversal suggesting potential downward correction.
• Price remained within a Bollinger Band expansion zone, with closing near the mid-band indicating a balance in near-term pressure.
• A large-volume bearish engulfing pattern emerged around 15:00 ET, suggesting increased selling pressure amid high volatility.

Enjin Coin/Tether (ENJUSDT) opened at $0.0593 on October 9 at 12:00 ET and surged to a 24-hour high of $0.0635 before retreating to a close of $0.0619 at 12:00 ET on October 10. The pair traded between $0.0591 and $0.0635, with a total 24-hour volume of 11,930,843 and a notional turnover of $22.3 million.

The price action displayed a strong bullish impulse followed by a sharp pullback, marked by a large-volume bearish engulfing pattern on the 15-minute chart around 15:00 ET. This pattern, appearing after a period of rising volume and bullish momentum, suggests a possible reversal. The 20-period and 50-period moving averages on the 15-minute chart were trending upward, reinforcing the initial bullish bias, but the 50-period MA began to flatten as the price declined. On the daily timeframe, the 50-period MA was above the 100-period and 200-period MAs, indicating a still-bullish bias over the longer term, though short-term volatility is increasing.

The MACD showed a bearish crossover at the peak near $0.0635, aligning with the RSI hitting overbought territory. RSI levels above 70 suggested potential exhaustion in the bullish move, while the MACD histogram began to contract, pointing to weakening momentum. Price closed near the middle Bollinger Band at the 24-hour mark, indicating a balance of short-term pressures. The bands had widened during the bullish phase, reflecting rising volatility and uncertainty.

Volume spiked during the rally from $0.0593 to $0.0635, confirming the strength of the move. However, a divergence between price and volume occurred during the pullback, as volume continued to rise even as the price declined, signaling increased uncertainty among market participants. Fibonacci retracement levels at 38.2% ($0.0618) and 61.8% ($0.0593) showed price testing and bouncing off the 38.2% level during the pullback, suggesting a short-term support cluster.

Backtest Hypothesis

The backtesting strategy in question relies on detecting overbought RSI levels and bearish candlestick patterns, such as the engulfing formation, to signal short-term bearish bias. In this context, the combination of RSI reaching overbought levels and the bearish engulfing pattern on October 10 at $0.0635 could serve as a strong sell signal. A stop-loss could be placed above the Bollinger Band or at the 38.2% Fibonacci level, with a target near the 61.8% retracement at $0.0593. Historical backtesting would validate if this pattern leads to consistent short-term bearish outcomes under similar conditions.