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Summary
• Price action formed a bearish trend with a potential breakdown below key support at $0.0605.
• Volume spiked during the final 5-hour period, indicating heightened selling pressure.
• RSI entered oversold territory, suggesting a possible near-term rebound or consolidation.
• Bollinger Bands widened overnight, signaling increased volatility.
• A long lower wick in the final hour suggests rejection of lower levels and potential short-term support.
Price and Volume Summary
Ontology/Tether (ONTUSDT) opened at $0.0607 on 2025-12-16 12:00 ET, reached a high of $0.0614, a low of $0.0574, and closed at $0.0579 as of 2025-12-17 12:00 ET. Total 24-hour volume was 1,995,513 tokens, with notional turnover reaching $115,564.
Structure and Key Levels
The price action over the 24-hour period showed a clear bearish bias, with a breakdown below the $0.0605 support level. A potential bearish engulfing pattern formed during the early morning session, which preceded a sharp decline. A strong rejection level appears to have emerged at $0.0574–$0.0575, as indicated by the long lower wick in the final 5-minute candle.
Moving Averages and Momentum
Short-term moving averages (20/50-period) on the 5-minute chart are in a steep bearish alignment, reinforcing the downward bias. The daily 50/100/200 EMAs are also bearishly aligned, indicating a broader trend. The MACD remained negative, with a narrowing histogram suggesting a potential slowdown in selling momentum. The RSI hit oversold territory, suggesting a possible pause or retracement in the near term.
Volatility and Bollinger Bands
Bollinger Bands showed a marked expansion overnight, reflecting a surge in volatility. The price spent much of the session below the 20-period moving average and within the lower band, signaling increased bearish conviction.
Volume and Divergence
Volume was relatively low during the initial 5 hours but surged significantly between 15:00 and 19:00 ET, coinciding with a sharp selloff. Notional turnover mirrored the volume surge, confirming the strength of the bearish move. A divergence in volume and price was observed during the final 2 hours, suggesting some exhaustion in the short sellers.
Fibonacci Retracements
Key Fibonacci levels were drawn between the recent swing high at $0.0614 and the low at $0.0574. Price currently resides near the 61.8% retracement level at $0.0592–$0.0593, which could act as a potential pivot for near-term buyers.
Outlook and Risk Consideration
The current bearish momentum appears to be losing some steam, as evidenced by the RSI moving into oversold territory and the long lower wick. A rebound to the $0.0592–$0.0593 area may occur in the near term. However, given the strong breakdown in the last 24 hours, any short-covering rally could be short-lived, and further consolidation or follow-through selling into new support levels remains a key risk.
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