Market Overview for Tether/Colombian Peso (USDTCOP)

Summary
• Price tested key support near 3840 before rebounding into a consolidation phase.
• Volume spiked during sharp declines, hinting at potential bearish exhaustion.
• RSI and MACD suggest wakening downward momentum and possible near-term equilibrium.
• Bollinger Bands show recent contraction, pointing to low volatility and possible breakout.
• Key Fibonacci retracement levels at 3853 and 3870 are attracting price action.

Market Overview

Tether/Colombian Peso (USDTCOP) opened at 3877 on December 18 at 12:00 ET and closed at 3870 on December 19 at 12:00 ET. The pair reached a high of 3880 and a low of 3841 during the 24-hour period. Total volume amounted to 172,235 units, while turnover reached approximately $630,465, reflecting active trading dynamics.

Structure & Formations

Price action displayed a bearish breakdown to 3841, finding a short-term floor at 3840-3841. A bullish engulfing pattern emerged after the 3840 level was tested twice, suggesting a temporary reversal. A doji at 3873 during the overnight session highlighted indecision and potential trend exhaustion.

Moving Averages

On the 5-minute chart, the 20-period moving average dipped below the 50-period line, indicating a short-term bearish bias, though price remains above the 50-MA. On the daily timeframe, the 50-period MA at 3872 and 200-period MA at 3854 suggest the pair is currently in a balanced consolidation phase.

Momentum and Volatility

The RSI dipped below 30 during the overnight decline, signaling oversold conditions, while the MACD line flattened near the signal line, pointing to reduced bearish momentum. Volatility, as measured by Bollinger Bands, has been narrowing, suggesting a period of consolidation ahead of a potential breakout.

Volume and Turnover

Volume surged during the 3841 low at 15:45 ET, confirming bearish exhaustion. However, subsequent volume has remained muted, indicating uncertainty among traders. Turnover aligned with price movements during the afternoon decline but softened during the rebound, suggesting a potential shift in sentiment.

Fibonacci and Key Levels

The 38.2% retracement level at 3853 and 61.8% at 3870 have acted as price magnets. The 3840–3841 level may hold as short-term support, with 3870–3875 likely to serve as resistance in the near term.

USDTCOP appears poised for a potential breakout from its recent range. If bullish momentum holds above 3870, the path to 3885 could be cleared; however, a retest of 3840 remains a key risk. Investors should remain cautious ahead of macroeconomic data and any potential liquidity shifts.