Market Overview: Prom/Tether (PROMUSDT) on 2026-01-01

Summary
• PROMUSDT formed a bullish engulfing pattern at 8.71, suggesting potential short-term reversal.
• Price broke above a key 5-minute resistance at 8.80, confirming renewed upward momentum.
• RSI reached overbought territory (72–76), indicating possible pullback ahead.
• Volatility expanded, with Bollinger Bands widening after a contraction at 8.75.
• Turnover surged to $56.5k at 02:00 ET, aligning with a sharp price jump to 8.98.

Prom/Tether (PROMUSDT) opened at 8.727 on 2025-12-31 at 12:00 ET, rose to a high of 9.00, dropped to a low of 8.517, and closed at 8.517 as of 12:00 ET on 2026-01-01. Total 24-hour volume was 39,328.65, with a notional turnover of $346,527.14.

Structure and Patterns

A bullish engulfing pattern emerged near 8.71 in the early session, signaling potential reversal from a bearish phase. The price later broke above 8.80, a critical 5-minute resistance level that had previously contained upward movement. A strong 20-period bullish crossover occurred during the 2:00 ET candle, aligning with the price surge to 8.98.

Momentum and Indicators

The RSI surged to the overbought range (72–76) during the early morning hours, suggesting potential for consolidation or a pullback. MACD showed a positive crossover and remained above the signal line, reinforcing bullish momentum.

Volatility and Bollinger Bands

Volatility expanded in the 24-hour window, with Bollinger Bands widening as price moved from a narrow trading range to a broader one. The price spent much of the session near the upper band, particularly after the 02:00 ET breakout.

Volume and Turnover

Turnover spiked to $56.5k at 02:00 ET, confirming the breakout from 8.86 to 8.98. Volume and turnover were closely aligned during this period, supporting the legitimacy of the rally. A divergence appeared between price and volume in the late session, as volume waned despite continued price declines.

Fibonacci Retracements

The 38.2% Fibonacci retracement level from the 2:00 ET high to the 5:00 PM low was at 8.89, where the price briefly found support. A 61.8% retracement at 8.81 acted as a key resistance, which was later cleared, confirming bullish continuation.

Price may retest 8.75–8.77 in the near term as a potential support area. However, a sharp decline below 8.65 could invite further bearish momentum. Investors should remain cautious of overbought conditions and potential profit-taking.