Market Overview for FUNToken/Tether on 2025-11-14

• Price dropped from 0.002127 to 0.001952 over 24 hours, forming bearish momentum.
• RSI and MACD show bearish divergence with price action, suggesting continued downward bias.
• Volume spiked during the breakdown, confirming bearish sentiment and price action.
• Bollinger Bands show expansion, indicating increased volatility and risk of further moves.
• Fibonacci retracement levels suggest key support at 0.001976, 0.001955, and potential resistance at 0.002003.

FUNToken/Tether (FUNUSDT) opened at 0.002127 on 2025-11-13 at 12:00 ET, reaching a high of 0.002043 and a low of 0.001914, before closing at 0.001952 by 12:00 ET on 2025-11-14. The pair experienced a total volume of 196,163,268.0 and a turnover of approximately 403.19 (assuming Tether as base currency). The downward trend is supported by significant volume, with bearish formations observed.

Key support levels are forming at 0.001976 (38.2% retracement) and 0.001955 (61.8% retracement), suggesting potential bounce points or further declines if these are pierced. Resistance is likely near 0.002003, where a bearish reversal pattern may form. The 20-period EMA on the 15-minute chart is trending lower, aligning with the broader bearish bias. On the daily chart, the 200-period SMA is above price, indicating a prolonged bearish trend.

MACD has crossed below the signal line, confirming bearish momentum, while RSI has entered oversold territory at 25. However, a divergence between RSI and price action may suggest an overextended move. Bollinger Bands have widened, indicating higher volatility, with price currently near the lower band. This position may signal increased bearish pressure or a potential rebound from oversold conditions.

The volume profile shows a significant increase during the sharp decline, especially from 04:45 to 05:45 ET, reinforcing the bearish narrative. While volume confirms price movement, a divergence in the late session may suggest exhaustion. Over the next 24 hours, traders may see a test of key support levels. A break below 0.001955 could invite further downside, though a rebound from 0.001976 may attract short-covering or buying interest.

Backtest Hypothesis

The backtesting strategy focused on Bearish Engulfing candlestick patterns, which align with the bearish bias observed in the 24-hour timeframe. These patterns typically signal short-term exhaustion and potential reversals, making them relevant in a market like FUNUSDT, where volatility and volume confirm price action. The strategy’s rules—short entries on Bearish Engulfing candles, with 12% take-profit and 8% stop-loss—offer an asymmetric risk-reward profile, which fits the 1-day trade framework. Given the current bearish setup, a Bearish Engulfing pattern could be a valid entry point for a short trade, particularly if it forms near 0.002003 or 0.001976.