Market Overview for Sign/Tether (SIGNUSDT) on 2025-10-09

• Price action saw a sharp drop to 0.06083 after reaching 0.06533, forming bearish momentum.
• RSI and MACD confirmed bearish momentum, with RSI dipping into oversold territory.
• Volatility expanded sharply after 14:45 ET as the pair moved -7.4% in 3.5 hours.
• Volume spiked during the decline, confirming bearish sentiment with no divergence.
• A key support at 0.06085 could hold next; a break risks further decline to 0.06067.

Sign/Tether (SIGNUSDT) opened at 0.06474 on 2025-1008 12:00 ET, hit a high of 0.06533 and a low of 0.06083, and closed at 0.06212 at 12:00 ET on 2025-10-09. The pair saw a total volume of 8.09 million units and a turnover of $506,668 over 24 hours, indicating aggressive bearish activity.

Structure & Formations

The price formed a strong bearish structure starting from a 0.06484 high at 17:15 ET, followed by a sharp decline that broke key support levels. A bearish engulfing pattern appeared around 0.06493 at 19:45 ET, followed by a doji at 0.06343 on 02:45 ET—suggesting indecision and exhaustion. The final bearish leg from 0.06212 to 0.06083 at 14:45 ET marked the most volatile candle in the dataset, with a 0.00168 drop and 1.4 million volume, confirming bearish control.

Moving Averages

On the 15-minute chart, the 20-period MA hovered between 0.0647 and 0.0650, and the 50-period MA fell below the 20-period MA after the bearish breakout, confirming bearish momentum. Daily MAs (50/100/200) would likely show a bearish bias if aligned with the recent intraday collapse, with the 50-day MA likely above the 200-day MA.

MACD & RSI

MACD turned negative mid-day, confirming bearish momentum, with the histogram expanding during the decline. RSI dropped to 27, reaching oversold territory by 15:45 ET—suggesting a potential bounce or consolidation ahead. However, bearish divergence was not evident, indicating a lack of buying pressure.

Bollinger Bands

Volatility expanded sharply during the final bearish leg, with the lower band falling below 0.06085. Price closed near the lower band on the 15-minute chart, suggesting a potential oversold bounce or a continuation lower depending on support behavior. The upper band hovered around 0.0648–0.0650, acting as resistance in the early phase.

Volume & Turnover

Volume surged from 0.5 million units to 2.48 million during the 14:45 ET candle, coinciding with the largest price drop. Turnover spiked from $30k to $155k in that period. No divergence was seen between price and turnover, confirming the bearish move.

Fibonacci Retracements

Applying Fibonacci to the 0.06484 high and 0.06083 low, the 38.2% level at 0.06338 and 61.8% at 0.06256 were tested during the consolidation phase. A test of the 61.8% level at 0.06256 could confirm a bounce, while a break below the 38.2% level would signal continuation to 0.06067.

Backtest Hypothesis

A potential backtesting strategy could involve entering a short position on a bearish engulfing candle, such as the one at 19:45 ET, with a stop above the high of the engulfing candle and a target at the 61.8% Fibonacci level. Given the strong bearish MACD and RSI divergence, this setup appears high-probability in the short term. A 5% trailing stop could lock in gains or protect from a surprise bounce. This strategy aligns with the observed price action and momentum indicators, reinforcing a bearish bias for the next 24–48 hours.