Market Overview for MultiversX/Tether (EGLDUSDT) on 2025-11-12

Summary
• Price dropped sharply from $9.86 to $9.41, with a partial recovery afterward.
• Volatility spiked mid-session, marked by high-volume bearish moves.
• RSI signaled oversold conditions at the bottom, suggesting potential reversal.

MultiversX/Tether (EGLDUSDT) opened at $9.80 on 2025-11-11 at 12:00 ET, hitting a high of $9.86 and a low of $9.41 before closing at $9.81 on 2025-11-12 at 12:00 ET. Total volume reached 54,055.52 over the 24-hour window, with a total turnover of approximately $517,066.09.

The candlestick pattern over the 24-hour 15-min chart revealed a bearish trend followed by a partial rebound. A sharp decline started after 17:45 ET, with the price dropping below 9.70, supported by increasing volume. This bearish momentum continued until around 00:00 ET, when the price hit a 24-hour low of $9.41. After a brief consolidation, price began to recover, forming a bullish divergence in RSI, which dipped into the oversold zone, signaling a potential reversal.

A 20-period and 50-period moving average on the 15-min chart showed a strong bearish crossover early in the session, reinforcing the sell-off. MACD crossed below the signal line, confirming bearish momentum during the first half of the day. However, a late rebound saw RSI rising into neutral territory and the 50-period MA turning upward, hinting at renewed buyer interest. Bollinger Bands widened during the sell-off, reflecting increased volatility, and the price tested the upper band during the recovery phase, suggesting a possible retest of key resistance levels.

Volume spiked significantly during the downward move, with the largest single candle (17:45 ET) moving from $9.78 to $9.72 on 2,025.8 volume, reinforcing the bearish sentiment. As the price recovered in the early morning, volume remained relatively high, indicating strong conviction from buyers. On the Fibonacci retracement scale, the 61.8% retracement level (around $9.64) acted as a key psychological support, and the price bounced off it during the recovery.

The market appears to be consolidating after a volatile 24-hour session. While bearish pressure dominated early in the day, the late rebound suggests a possible short-term reversal or consolidation phase. However, given the depth of the selloff, a retest of the $9.41 level is likely. Investors should watch for a sustained break above the $9.85 level for a potential shift in sentiment.

Backtest Hypothesis
The backtesting strategy “Bearish Engulfing Short 1-3 Days” focuses on identifying bearish engulfing patterns and holding the position for up to three days. The strategy uses the close price for signal generation and assumes no stops or profit targets, which reflects a pure price action approach. Given the strong bearish moves observed in today’s session, including a clear engulfing pattern around 17:45 ET, this strategy would have generated a sell signal with an entry point around $9.78 and an initial target based on a 1-3 day holding period. The recovery in the early morning shows how such strategies must remain flexible—while the pattern confirmed a strong sell-off, a retest of the engulfing level would likely trigger a reevaluation of the trade. For future applications, this strategy could be enhanced by incorporating RSI levels to filter trades during overbought or oversold conditions, potentially improving risk-adjusted returns.