Market Overview for Phala Network/Tether (PHAUSDT) – 2025-11-01

• PHAUSDT formed a bullish reversal pattern after hitting a 24-hour low of $0.0536
• Volume surged during the final 6 hours, confirming a potential short-covering rally
• Momentum indicators suggest moderate overbought conditions as price nears recent highs
• Bollinger Bands have widened, indicating increased volatility in the final candle
• Price closed near 61.8% Fibonacci level, hinting at possible consolidation or breakout

Phala Network/Tether (PHAUSDT) traded in a volatile 24-hour window, opening at $0.0553 on 2025-10-31 12:00 ET and closing at $0.0564 by 12:00 ET on 2025-11-01. The pair hit a low of $0.0536 and a high of $0.0573 during the session. Total volume reached 4,701,056 PHA, with a notional turnover of approximately $259,953. The price action suggests a possible short-term bottoming process amid a broad consolidation phase.

Structure & Formations

The 24-hour chart displayed a distinct V-bottom formation, with a low of $0.0536 followed by a sharp and sustained rebound. A notable bearish divergence appeared in the early morning session, but this was quickly negated by a series of bullish engulfing patterns in the 15-minute timeframe between 07:30 and 09:00 ET. A key support level appears to be forming around $0.0544, with the price bouncing off this level multiple times. The most recent close at $0.0564 resides just below the 61.8% Fibonacci retracement of the morning decline, suggesting potential for either consolidation or a breakout to the upside.

Moving Averages & Momentum

On the 15-minute chart, the 20-period moving average crossed above the 50-period line in the early hours of the morning, forming a golden cross that preceded the rally. This signaled a potential shift in near-term momentum. The 50-period daily moving average currently sits at $0.0558, suggesting the 200-period (approximately $0.0550) could offer a near-term floor if the consolidation continues. The RSI has moved into overbought territory for the last 4 hours, signaling caution for near-term traders. The MACD histogram has shown a recent expansion, aligning with the volume increase and confirming the strength of the recent move higher.

Bollinger Bands & Volatility

Volatility has been a key driver in the final 8 hours of the session, with the Bollinger Bands expanding from a narrow contraction early in the morning. By the afternoon, the bands had widened significantly, with the price settling just below the upper band during the strongest part of the rally. This suggests a period of heightened trader activity and aggressive buying interest. As the bands remain wide, it appears the market is pricing in a continuation of this volatility for the foreseeable future, although traders should remain cautious of a potential reversal if the price tests the upper band again.

Volume & Turnover

The 24-hour volume profile shows a clear concentration of buying pressure during the final 6 hours, with the most significant spikes occurring between 08:00 and 10:00 ET. These periods coincided with the strongest price gains. Notional turnover also increased significantly during this time, with the highest turnover occurring around 08:45 ET, when the price jumped from $0.0558 to $0.0565 on heavy volume. The lack of divergence between price and volume in the last 3 hours provides a strong confirmation that the rally is being driven by genuine demand rather than short-term manipulation.

Backtest Hypothesis

Given the recent appearance of multiple bullish engulfing patterns and the strong volume confirmation, a logical backtesting strategy would be to test the performance of a systematic approach that enters long positions on confirmed bullish engulfing patterns and holds for one trading day. This would align with the observed structure and the momentum shift we have seen today. Since no pre-computed pattern file is available for PHAUSDT, we will need to reconstruct the signal set programmatically using raw OHLCV data. If you are comfortable, I can proceed to fetch the raw data, detect all instances of the bullish engulfing pattern, and run a 1-day holding backtest to evaluate its viability. This method ensures accuracy and eliminates any reliance on external pre-calculated files.