Market Overview for Shiba Inu/Tether (SHIBUSDT) – 24-Hour Analysis

• Price traded in a tight range until a late-night rally pushed SHIB/USDT toward $0.0000128.
• Volatility expanded significantly in the 24-hour window, with a 6.3% range from lows to highs.
• On-balance volume increased sharply in the final 8 hours, confirming a shift in buyer participation.
• The RSI crossed into overbought territory at the 61.8% Fibonacci level, suggesting potential near-term resistance.
• A bullish engulfing pattern formed at the 24-hour high, signaling a potential reversal after bearish pressure.

Shiba Inu/Tether (SHIBUSDT) opened at $0.00001265 on October 5 at 12:00 ET and closed at $0.00001269 on October 6 at 12:00 ET. The pair traded as low as $0.00001239 and as high as $0.00001289 during the 24-hour period. Total volume reached 291.66 billion SHIB, with notional turnover exceeding $36.6 million.

Overnight bearish pressure limited upward momentum until early morning hours, when the price broke above a key 15-minute resistance level. A bullish engulfing pattern formed near the 20-period moving average, suggesting short-term reversal potential. The 50-period MA crossed above the 100-period MA, indicating a potential mid-term uptrend. The 20-period MA currently sits at $0.00001268, supporting the current price action. Price remained above both 50 and 200-period daily moving averages, affirming a bullish bias at the daily timeframe.

MACD turned positive in the final 8 hours, with a histogram showing expanding bullish momentum. RSI surged to 68, approaching overbought levels. This may indicate a pause in the near-term trend but not necessarily a reversal. Bollinger Bands expanded as the price moved upward, confirming rising volatility. The price closed near the upper band, indicating strong buying pressure. The 15-minute chart showed a clear breakout above a prior consolidation pattern, now acting as support.

The 61.8% Fibonacci retracement level at $0.00001275 acted as resistance before the price pushed higher. Volume increased substantially after the breakout, with higher-volume candles appearing above key psychological levels. A divergence between volume and price was not observed, suggesting that the move is supported by strong buying activity. A bearish divergence in the final 4 hours may hint at near-term profit-taking, but the broader trend remains intact.

Backtest Hypothesis

The suggested backtesting strategy involves entering long positions on SHIB/USDT when the 20-period moving average crosses above the 50-period moving average on the 15-minute chart, with a stop-loss placed below the 15-minute low of the breakout candle and a take-profit target at the 61.8% Fibonacci level of the recent swing. This strategy aligns with the current setup, where the 20-period MA is rising and the price is above key moving averages. Backtesting would help determine how this strategy performed in similar historical conditions, particularly in low-volume consolidation phases followed by breakout rallies.