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• GNSUSDT rallied to a 24-hour high of $1.43 before consolidating near $1.421.
• Key resistance appears at $1.43, with strong support forming near $1.415–$1.417.
• Bullish momentum picked up midday but faded as volume and turnover dipped toward the close.
• A bullish engulfing pattern formed briefly around 20:30 ET, though failed to hold.
• Volatility expanded in the early morning before contracting during the final 6 hours.
The Gains Network/Tether (GNSUSDT) pair opened at $1.411 on October 24 at 12:00 ET and advanced to a 24-hour high of $1.43 before retreating to close at $1.421 on October 25 at 12:00 ET. Total volume reached 25,792.2 units over the period, with notional turnover standing at approximately $36,888 (calculated as total volume × average price). Price action showed clear signs of consolidation in the latter half of the 24-hour window, suggesting a tug-of-war between buyers and sellers near critical levels.
Structure and price formations reveal a strong support cluster forming in the $1.415–$1.417 range, which the price revisited and held during the late morning and afternoon. A notable bullish engulfing pattern emerged around 20:30 ET as price surged from $1.417 to $1.427, but failed to hold above $1.43, indicating a lack of follow-through buying. Resistance remains well-defined at $1.43, where the price has repeatedly encountered rejection over the past 24 hours. A doji formed near $1.43 at 02:45 ET, signaling indecision and caution among traders.
The 20-period and 50-period moving averages on the 15-minute chart are closely aligned, hovering between $1.42 and $1.425, indicating a range-bound environment. MACD appears to be flattening, with the line crossing near the signal line around $1.423, suggesting a potential pause in momentum. RSI oscillated between 45 and 55, pointing to neutral market sentiment. Bollinger Bands have recently contracted during the last 6 hours, indicating a potential setup for increased volatility.
Volume and turnover showed a peak in the early morning with a large-volume candle at 22:45 ET, closing at $1.422 on heavy volume of 2,579.2 units. However, volume significantly declined after 04:00 ET, coinciding with a pullback in price. Notional turnover also dipped during the final hours, suggesting a lack of conviction among traders. A divergence between price and volume may be emerging—price held above $1.42 in the final hours, but volume failed to confirm the strength. This could foreshadow further consolidation or a potential break below support if not accompanied by increased buying pressure.
Backtest Hypothesis
The recent bullish engulfing pattern at 20:30 ET highlights the potential for a short-term reversal strategy. A backtest using a similar pattern could test entries on confirmation of a close above the engulfing high, with a stop-loss placed below the pattern’s low. However, given the repeated failure to break above $1.43 and the recent doji, the pattern's reliability may be limited without a clear breakout in volume and price. A more robust approach may require additional confirmation via RSI and Bollinger Band expansion before entry. This aligns with the typical workflow for pattern-based strategies—validating signals with multiple indicators and managing risk through tight stops and trailing exits.
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