Market Overview for Nervos Network/Tether (CKBUSDT) on 2025-10-07

• Nervos Network/Tether (CKBUSDT) fell to a 24-hour low of $0.004187, signaling bearish momentum with a 6.9% decline from the high.
• RSI dipped below 30, indicating oversold conditions, while MACD turned negative, confirming downward momentum.
• Volatility expanded during Asian hours, with Bollinger Bands widening and volume peaking at 13.99 million near the 0.004242 level.
• A key support level emerged near $0.00417–0.00419, with a failed attempt to break below it, suggesting a possible reversal.
• Divergence between price and volume was evident after 0.0043, hinting at potential reversal or consolidation.

Nervos Network/Tether (CKBUSDT) opened at $0.004426 at 12:00 ET–1 and declined to a 24-hour low of $0.004187, with a high of $0.004456 and a close of $0.004384 at 12:00 ET. Total traded volume reached 128.47 million and notional turnover hit $563,897. The pair displayed bearish momentum amid growing bearish conviction and divergences.

Structure & Formations

Price action on the 15-minute chart revealed a bearish breakdown after forming a key support level around $0.00419. Several bearish engulfing candles formed around this level, especially between 15:00 and 16:00 ET, signaling strong seller pressure. A doji candle at $0.004242 confirmed a momentary pause in the downward move. A shallow recovery followed, but it failed to break above $0.004384. The 20-period moving average on the 15-minute chart fell below the 50-period line, supporting the bearish bias.

Moving Averages

The 15-minute chart showed the 20-period EMA dipping below the 50-period, a bearish signal. The daily chart saw the 50-period EMA moving closer to the 100-period, but still above, which suggests the longer-term bearish trend remains intact. Price action closed below the 20 EMA and is now approaching the 50 EMA on the 15-minute chart, which may act as a potential trigger point for a deeper correction.

MACD & RSI

MACD turned negative and crossed below the signal line late in the 24-hour period, confirming bearish momentum. RSI dropped below 30, entering oversold territory, which could set up a short-term rebound, though it’s likely to remain in a corrective mode. The divergence between RSI and price after 0.004334 suggests a potential bear trap or continuation of the downtrend.

Bollinger Bands

Bollinger Bands showed a clear expansion in the afternoon and evening, especially between 15:00 and 19:00 ET, indicating heightened volatility. Price moved well below the lower band on multiple occasions, signaling oversold conditions. A contraction occurred briefly around 0.004284, suggesting a potential pause in the bearish move and a possible reversal if buyers step in.

Volume & Turnover

Volume surged to a 24-hour peak of 13.99 million at $0.004242, aligning with the bearish engulfing pattern. Turnover spiked in tandem, reinforcing the bearish breakout. However, volume waned in the final hours, which could signal exhaustion or consolidation. The divergence between price and volume after 0.004334 suggests a potential bear trap or reversal.

Fibonacci Retracements

Applying Fibonacci retracement levels to the key swing high at $0.004456 and low at $0.004187, the 38.2% level at $0.004308 and 61.8% at $0.004263 appear to be key areas for possible bounce or continuation. The price is currently hovering near the 78.6% retracement level, which may serve as a pivot point in the short term.

Backtest Hypothesis

A potential backtest strategy could focus on short entries on breakouts of the $0.004263 Fibonacci level with a stop-loss above $0.004308. A target could be set at $0.00419, aligning with recent support and the 78.6% retracement. This approach would leverage the current bearish momentum while managing risk with defined levels. Given the recent divergence and RSI in oversold territory, a long bias on a bounce may also be considered for traders seeking countertrend opportunities.