Market Overview: Terra/Tether (LUNAUSDT) – 24-Hour Technical Summary

• Price surged ~15% in 24 hours, closing at 0.1001 after a sharp rally from 0.0985
• Volume spiked over 1 million during the 7:00–8:00 AM ET session, confirming momentum
• RSI near overbought territory suggests potential pullback ahead
• Bollinger Bands widened as volatility increased during key breakout
• No major bearish reversal patterns emerged despite intraday consolidation

At 12:00 ET on 2025-10-24, Terra/Tether (LUNAUSDT) opened at 0.0988 and closed at 0.1001 by 12:00 ET the following day, with a high of 0.1022 and a low of 0.0985. Total volume reached 6,572,652.66, while notional turnover summed to approximately $658,156. The 24-hour period saw increased volatility and a strong bullish bias, especially during the overnight to early morning hours.

Structure & Formations

Price action on LUNAUSDT showed a clear bullish bias, with key support at 0.0985 holding during early ET hours and strong resistance breaking at 0.1001–0.1022. A notable breakout occurred around 7:00 AM ET, marked by a strong Bullish Engulfing pattern and a volume spike. The formation suggests a short-term trend reversal after a consolidation phase. No major bearish reversal signals emerged, with price action maintaining above key moving averages and Fibonacci levels for most of the session.

Moving Averages and Volatility

The 20-period and 50-period moving averages on the 15-minute chart were both crossed above around 7:00 AM ET, confirming the upward move. On the daily chart, the 50-period MA was near 0.0995, while the 200-period MA held at ~0.0980, indicating a possible retesting scenario in the next 24 hours. Bollinger Bands widened significantly during the breakout, with prices moving above the upper band for nearly an hour. This suggests a strong, albeit temporary, bullish momentum.

Momentum and Fibonacci Retracements

RSI reached ~72 near the 12:00 ET close, hinting at overbought conditions and a potential pullback. MACD crossed above the signal line during the 7:00–8:00 AM ET session, confirming the bullish breakout. Fibonacci retracements showed the 61.8% level at ~0.1006 and the 78.6% at ~0.1015 being tested multiple times during the late morning and early afternoon. Price pulled back slightly after reaching those levels but remained above the 50% retracement at ~0.1000, reinforcing the bullish bias.

Volume and Turnover Divergence

Volume surged over 1 million during the 7:00 AM ET candle, aligning with the breakout and confirming the strength of the bullish move. However, turnover during the 7:30–8:30 AM ET window was slightly lower than expected given the price move, hinting at some exhaustion. No major divergence was observed between price and volume for the remainder of the session, which supports the continuation of the bullish trend for the next 24 hours.

Backtest Hypothesis

The Bullish Engulfing backtest strategy, applied to a different asset (BLSH.N), encountered no signals due to the absence of valid pattern detections. This highlights the importance of pattern sensitivity and context. On LUNAUSDT, a strong Bullish Engulfing pattern occurred at 7:00 AM ET, confirming a breakout and aligning with volume spikes. A modified backtest using broader pattern definitions (e.g., allowing for non-engulfing but bullish candle transitions) or longer holding periods could yield better results. Testing such variations on high-volume and high-momentum assets like LUNAUSDT may enhance signal consistency and improve strategy robustness.