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Summary
• Price declined 4.86% in 24 hours, breaking below key support of 0.1230.
• Volume surged during the drop, confirming bearish momentum.
• RSI in oversold territory suggests potential for near-term bounce.
• Bollinger Bands show price near lower band, indicating high volatility.
• A bearish engulfing pattern formed at 0.1254-0.1231, confirming downside bias.
At 12:00 ET on 2025-12-07, POL/Tether (POLUSDT) opened at 0.1232, peaked at 0.1254, and closed at 0.1215, with a low of 0.1181. Total volume over 24 hours was 9,185,919.9 units, and notional turnover reached $1,118,110.44.
Structure & Formations
Price broke below the 0.1230 psychological support level after a bearish engulfing pattern formed around 18:15 ET. A long lower shadow at 22:45 ET briefly suggested rejection, but the following hours saw a breakdown below 0.1220. A potential short-term support is forming at 0.1205–0.1190 based on recent Fibonacci retracements from the 0.1254 high.
Moving Averages
On the 5-minute chart, the 20-period and 50-period moving averages have both turned bearish, with the 50-line crossing below the 20-line. Daily averages (50/100/200) remain in a bullish alignment, suggesting the broader trend may not have shifted yet, though short-term bearishness is clear.
Momentum Indicators
The RSI dropped to 28 by 14:30 ET, entering oversold territory, which could signal a near-term bounce. The MACD remained negative throughout the session, with bearish divergence in the histogram. Momentum appears to have accelerated on the downside after 14:30 ET, especially during the 14:30–15:00 ET period.
Volatility and Bollinger Bands
Volatility expanded significantly during the 14:30–15:15 ET window, with price hitting the lower Bollinger Band as low as 0.1183. This expansion often precedes a reversal or consolidation, but given the strong volume during the move, a continuation lower cannot be ruled out.
**
POLUSDT appears poised to test the 0.1180–0.1170 range in the next 24 hours, though a bounce from oversold RSI levels could see a temporary rebound into 0.1220. Investors should monitor the 0.1205 level as a key near-term support. While the short-term bias remains bearish, divergence in momentum indicators could suggest caution in initiating new short positions without confirmation.
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