Market Overview for Shiba Inu/Tether (SHIBUSDT)

Summary
• SHIBUSDT tested key support near $0.000006.85, then reversed higher with strong volume.
• Momentum picked up in the final 4 hours, with RSI and price aligning near overbought levels.
• Volatility expanded sharply in the last 90 minutes, pushing price above 7.05e-06 for the first time in the period.
• A bullish engulfing pattern formed at 05:30–06:00 ET, suggesting a short-term shift in sentiment.
• Bollinger Bands compressed earlier in the session, followed by a breakout aligned with a 61.8% Fibonacci level.

The pair opened at $0.000006.97 and closed at $0.000007.05 after reaching a high of $0.000007.23 and a low of $0.000006.82. The 24-hour volume amounted to $1.308e+11 with a turnover of $940,000.

Structure & Formations

SHIBUSDT found critical support at 6.85e-06, where a 5-minute bullish engulfing pattern formed around 05:30 ET. This coincided with a 61.8% Fibonacci retracement of a prior bearish leg. Price then broke out above a key resistance at 7.05e-06, confirming a potential shift in short-term momentum.

Moving Averages

On the 5-minute chart, price closed above both 20-EMA and 50-EMA, indicating a strengthening bullish trend. On a broader scale, daily MAs (50/100/200) remain well below current levels, suggesting a potential continuation of the recovery from earlier bearish pressure.

Momentum & Volatility

RSI crossed into overbought territory in the last 90 minutes, aligning with a sharp price move. MACD showed positive divergence, confirming the strength of the rally. Bollinger Bands, previously compressed, expanded in the final hours, indicating renewed volatility and trader activity.

Volume & Turnover

Volume surged in the 15:45–16:00 ET timeframe, with a single 5-minute candle contributing $31B in volume and $309,992.43 in turnover—over 30% of the total 24-hour turnover. This confirms strong buying interest at the 7.15–7.18e-06 range.

Forward-Looking View

With momentum indicators near overbought levels and a clear breakout above 7.05e-06, SHIBUSDT may test 7.25e-06 in the next 24 hours. However, a pullback to test 7.05e-06 or 7.02e-06 could provide a more favorable risk/reward setup. Investors should remain cautious as overbought conditions may lead to a consolidation or reversal.