Market Overview for Metis/Tether USDt (METISUSDT)

• METISUSDT surged 6.6% in 24 hours, closing at $14.85 after a strong bullish breakout.
• High volume spikes confirmed key resistance levels were decisively cleared during late ET hours.
• RSI and MACD signaled strong momentum, with RSI nearing overbought and MACD in positive territory.
• Price action suggested a consolidation phase after the peak, with Bollinger Bands widening.
• Downturn in late-day trading suggests caution for potential pullbacks, though short-term bullish sentiment remains intact.

Price Action and Formations

The pair opened at $14.66 on 2025-09-04 at 12:00 ET and surged throughout the day, closing at $14.85 by 12:00 ET on 2025-09-05. The candlestick pattern reveals a strong bullish breakout, with a notable bearish reversal forming in late ET hours. A key support level was confirmed at $14.66, while resistance levels were cleared at $14.80 and $14.95. A bullish engulfing pattern was observed during the early morning hours, confirming the strength of the upward move.

Moving Averages

On the 15-minute chart, the 20-period and 50-period moving averages are both bullish, with price closing above both, indicating a strong short-term uptrend. On the daily chart, the 50-period moving average is acting as a dynamic support line, while the 200-period moving average remains well below current levels, suggesting a longer-term bullish bias. The 100-period moving average is in alignment with the 50-period, reinforcing the positive trend.

MACD and RSI

The MACD has turned positive and is trending higher, confirming bullish momentum. The RSI is currently near 70, indicating overbought conditions, which suggests a potential pullback may be imminent. However, as long as the RSI remains above 50 and the MACD stays positive, the upward bias is likely to persist.

Bollinger Bands and Volatility

Volatility expanded significantly during the late ET hours, with Bollinger Bands widening from a narrow range to a more expansive one. Price is currently trading near the upper band, suggesting it is in overbought territory. A pullback into the middle band could provide a more balanced setup for potential continuation or consolidation.

Volume and Turnover

Volume was significantly higher during the breakout phase, particularly in the hours between 07:00 and 10:00 ET. Notional turnover spiked when the price surpassed key resistance levels, confirming the strength of the move. However, volume has since declined slightly, indicating a possible slowdown in buying pressure. A divergence between price and volume during the late-day correction suggests caution for traders.

Fibonacci Retracements

Fibonacci levels were key in identifying potential pullback areas during the 15-minute retracements. The 38.2% level at $14.83 and 61.8% at $14.79 were both tested, with price bouncing off the 61.8% level before resuming the upward trend. On the daily chart, the 50% and 61.8% retracements align with key support and resistance levels, providing guidance for potential continuation or reversal scenarios.

Backtest Hypothesis

A potential backtest strategy involves entering long positions on the 15-minute chart when price closes above both the 20 and 50-period moving averages and when the MACD histogram turns positive with an increase in volume. Exits could be triggered when the RSI crosses above 70 (overbought) or when price pulls back to the 61.8% Fibonacci level. This setup could be tested over a historical 60-day period to evaluate its effectiveness in capturing momentum-driven trends.