Market Overview for FUNToken/Tether (FUNUSDT) on 2025-10-12

• FUNToken/Tether (FUNUSDT) dropped from $0.005268 to $0.004990 over 24 hours, closing near a 38.2% Fibonacci retracement level.
• RSI and MACD signaled bearish momentum, with RSI below 40 and MACD below signal line for much of the session.
• Volatility expanded in the final 4 hours, with Bollinger Band widening and volume surging above 17 million FUN tokens.
• Key resistance appears near $0.005010–0.005025; support at $0.004970–0.004985 is under pressure.
• A bullish reversal is possible if price breaks above $0.005025 with volume confirmation, but risk remains skewed to the downside.

The FUNToken/Tether (FUNUSDT) pair opened at $0.005265 at 12:00 ET − 1 and closed at $0.004990 by 12:00 ET, with a high of $0.005268 and a low of $0.004784. Total volume traded over 24 hours was 192,476,634 FUN tokens, with a notional turnover of approximately $961,383, assuming an average price of $0.00499. The pair displayed bearish bias throughout most of the session, with a late afternoon rally failing to close above key resistance levels.

The structure of the 24-hour candlestick action showed a clear bearish trend, with a large bearish engulfing pattern forming in the late afternoon (between $0.004991 and $0.004991). A 61.8% Fibonacci retracement level from the morning high to the midday low (~$0.004970) appears to be a critical area, which saw some consolidation in the evening hours. A doji formed at 21:45 ET (~$0.004831), indicating indecision at that level. Support levels can be identified at $0.004970–0.004985, $0.004955–0.004960, and $0.004945–0.004950, with the 20-period EMA at $0.004990 and 50-period EMA at $0.004995.

MACD remained below its signal line for most of the session, suggesting sustained bearish momentum. RSI dipped below 40 early and only rose slightly above 45 in the late evening, failing to show a strong reversal. Bollinger Bands widened in the final 4 hours, reflecting increased volatility, while price spent most of the session trading near the lower band. A 50-period EMA (~$0.004995) and 20-period EMA (~$0.004990) were closely aligned, suggesting a potential for consolidation if buyers re-enter.

Price action in the final 4 hours suggested a short-term countertrend, with a 20-period EMA slightly above 50-period EMA (~$0.004995), offering a minor bullish bias. A break above $0.005010–0.005025 could trigger a retest of the 61.8% Fibonacci retracement at $0.005030, but a failure to close above $0.005025 would likely extend the bearish bias toward $0.004960. A key watch is the 61.8% Fibonacci level, which coincides with the 50-period EMA, and could either trigger a rebound or confirm further weakness.

Backtest Hypothesis

A potential backtest strategy could focus on a short-bias approach based on RSI and MACD divergence observed in the early to midday hours. A sell signal might have been triggered when RSI dropped below 40 and MACD moved further below its signal line, with a stop-loss placed above the 20-period EMA. A trailing stop could follow the 50-period EMA as a dynamic exit trigger. Alternatively, a bullish counter-trend trade could be considered if a bullish engulfing pattern formed at a key Fibonacci level, with a stop below the doji low. This would align with the idea of using RSI and MACD to identify overextended moves and Fibonacci levels to locate strategic entry points.