Market Overview for IOTA/Tether (IOTAUSDT) – November 3, 2025

• IOTAUSDT broke below key support levels, reaching a 24-hour low of $0.1322.
• Volume spiked overnight, confirming bearish momentum as price dropped 7.2%.
• RSI entered oversold territory near 28, hinting at potential near-term rebound.
• Bollinger Bands narrowed before the breakdown, signaling consolidation and possible continuation.

The IOTA/Tether (IOTAUSDT) pair opened at $0.1401 at 12:00 ET–1, hit a high of $0.1425, dropped to a low of $0.1280, and closed at $0.1287 as of 12:00 ET. The 24-hour trading volume amounted to 28,191,351 IOTA, with a notional turnover of $3.68 million, indicating heightened market activity, particularly after 15:30 ET when a sharp sell-off occurred.

The structure of the 15-minute chart shows a clear breakdown from a prior consolidation range, with a key support level breached near $0.1322. The candlestick pattern around this breakdown included a long bearish shadow, confirming a shift in sentiment. The 20-period and 50-period moving averages on the 15-minute chart are both bearish, with the price trading below both, reinforcing the downward bias. The 50-period daily moving average stands at $0.1380, acting as a dynamic overhead resistance level.

Momentum, as measured by the MACD, shows a bearish crossover with both the MACD and signal line in negative territory. The RSI is currently at 28, suggesting the pair is in oversold territory, which could invite short-covering or buying interest if the decline stabilizes. However, the oversold condition alone does not guarantee a reversal, especially in the absence of a clear reversal pattern. Bollinger Bands have widened following the breakdown, reflecting increased volatility, with price remaining near the lower band, indicating ongoing bearish pressure.

The volume profile shows significant increases during the breakdown phase, particularly after 15:30 ET, with large-volume candles confirming the bearish move. No major divergence between price and volume is observed, suggesting that the move is backed by conviction. Fibonacci retracement levels from the recent swing high at $0.1425 to the low at $0.1280 show the current close at $0.1287 near the 61.8% level, indicating a key area to watch for possible continuation or reversal.

The backtesting strategy proposed focuses on identifying bearish engulfing patterns and exiting at the next support level. To operationalize this for IOTAUSDT, we would define the “next support level” as the most recent swing low or a key Fibonacci level. A 50-period SMA could also serve as a dynamic support reference. Given the current bearish bias and volatility, this strategy may align with the ongoing trend, though confirmation of a reversal is still pending. The strategy could be enhanced by incorporating a 10% stop-loss or ATR-based risk control to manage downside risk, especially given the recent sharp move.