Market Overview: Loopring/Tether (LRCUSDT) – 2025-11-06 24-Hour Analysis

• Loopring/Tether (LRCUSDT) ended 24 hours at 0.0587, down from 0.0607.
• Key resistance appears near 0.0608-0.0610, with support at 0.0584-0.0586.
• Momentum indicators show bearish divergence, and volume spiked in early ET.
• Price remains below 20- and 50-period moving averages on the 15-min chart.
• Volatility expanded midday before contracting, suggesting potential range-bound trading ahead.

The 24-hour session for Loopring/Tether (LRCUSDT) began at 0.0607 and closed at 0.0587, with a high of 0.0612 and a low of 0.0583. Total volume for the 24-hour period reached approximately 7,358,875, with a notional turnover of $444,511. The price action shows a bearish bias, with a clear downward drift after an initial bullish push in the early New York session.

Structure on the 15-minute chart reveals multiple bearish signals, including a key bearish engulfing pattern at 0.0612-0.0608, suggesting a short-term top. A descending triangle is forming in the 0.0610-0.0585 range, with the 0.0584 level acting as strong support. The 20- and 50-period moving averages on the 15-minute chart are bearishly aligned, with the 50 SMA at 0.0595 and the 20 SMA at 0.0599. On the daily chart, the 50-day moving average is at 0.0592, and the 200-day at 0.0598, indicating a slightly bearish bias.

Momentum indicators confirm this trend. The RSI on the 15-minute chart dipped into oversold territory in the afternoon, while the MACD histogram has turned negative, with the MACD line crossing below the signal line. This divergence points to a possible continuation of the downward trend. Bollinger Bands are currently contracting, with the price near the lower band, suggesting the potential for a bounce or further decline. The volatility contraction implies a period of consolidation may be forming.

Fibonacci levels on the recent swing high of 0.0612 and low of 0.0583 highlight key psychological levels: the 61.8% retracement at 0.0595 and the 38.2% at 0.0599. These levels align with the 50- and 20-SMA lines, respectively. As the price holds below 0.0595, further bearish movement into the 0.0584 support zone appears likely. Traders should watch for a breakdown below that level, which could trigger a test of the 0.0580 area.

Backtest Hypothesis

Given the bearish engulfing pattern observed during the session, a potential backtesting strategy could focus on identifying similar signals in the past and measuring 5-day performance outcomes. This pattern, particularly when it occurs at a key resistance level, often signals a reversal from bullish to bearish momentum. For LRCUSDT, the engulfing candle at 0.0612-0.0608 aligns with such a setup and may have served as a trigger for short-term bears. A backtest applying this logic to historical data could validate whether the strategy would have yielded favorable results, especially when combined with a stop-loss at the swing high and a take-profit near the 38.2% Fibonacci level.