Market Overview for Hooked Protocol/Tether USDt (HOOKUSDT)

• Price for HOOKUSDT opened at $0.1048 and closed near $0.1071, forming a bullish trend with a high of $0.1086.
• The 24-hour volume spiked significantly near the close, reaching $1586989.6, confirming strong buying pressure.
• RSI moved into overbought territory, suggesting potential for a short-term reversal or consolidation.
• A bullish engulfing pattern formed late in the session, indicating a possible reversal from prior bearish momentum.
• Volatility expanded during the final hours, with prices moving outside of Bollinger Bands upper channel.

Hooked Protocol/Tether USDt (HOOKUSDT) opened at $0.1048 on 2025-09-04 and closed at $0.1071 on 2025-09-05, achieving a 24-hour high of $0.1086 and a low of $0.1017. Total volume for the 24-hour period was 6,515,734.5, and notional turnover reached $684.6 USD, marking a sharp increase in liquidity and interest.

Structure & Formations

The 15-minute chart displayed a clear shift from bearish to bullish momentum, particularly in the early hours of the morning. A significant bearish move saw price drop to $0.1023 before a strong bullish reversal started forming. A bullish engulfing pattern emerged around 07:15 ET, signaling a potential trend reversal. Key support levels were observed at $0.1023 and $0.1032, while resistance levels emerged at $0.1058 and $0.1069.

Moving Averages

Using 20 and 50-period moving averages on the 15-minute chart, the 50-period MA crossed above the 20-period MA in the late hours, forming a golden cross. This suggests short-term bullish momentum. On the daily chart, the 50-period MA appears to be crossing above the 100 and 200-period MAs, indicating a potential longer-term bullish shift.

MACD & RSI

The MACD line remained positive throughout the session, with a notable divergence appearing in the final hour as bullish momentum accelerated. RSI pushed into overbought territory above 70 during the last 3 hours, suggesting a potential short-term pullback. However, the divergence in the MACD histogram and the confirmation of the bullish engulfing pattern suggest the upward move could continue.

Bollinger Bands

Volatility expanded sharply in the final 2 hours of the session, with prices breaking above the upper Bollinger Band at $0.1086. The move out of the band indicates a breakout, which is typically followed by a consolidation or continuation phase. The 20-period Bollinger Bands showed increasing width over the last 4 hours, reinforcing the notion of growing volatility.

Volume & Turnover

Volume surged to a peak of $1.58 million at the end of the 24-hour period, coinciding with a strong upward move. Notional turnover increased in sync with volume, confirming the move's legitimacy. Divergence was not observed between volume and price, suggesting the bullish breakout is supported by strong liquidity and investor interest.

Fibonacci Retracements

Fibonacci retracement levels were applied to the major swing low at $0.1017 and the swing high at $0.1086. The price closed near the 76.4% retracement level, which aligns with a potential consolidation or pullback zone. On the 15-minute chart, the 38.2% and 61.8% retracement levels were used for intraday trend confirmation, both showing strong support and resistance behavior.

Backtest Hypothesis

The backtest strategy described involves entering a long position on HOOKUSDT when the 50-period MA crosses above the 20-period MA and RSI is below 30, with a stop loss below the most recent swing low. The strategy aims to capture early bullish momentum following oversold conditions. Given the recent golden cross and RSI divergence, this strategy appears well-aligned with current market dynamics. The final hour's volume and price confirmation increase the probability of a successful long trade, though a conservative risk management approach is still advised.