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Summary
• Price formed bearish engulfing patterns and tested key support at $3650.
• Momentum slowed as RSI approached oversold levels near 30, suggesting potential reversal.
• Volatility remained elevated, with Bollinger Band expansion seen after sharp declines.
• Turnover spiked during the late-ET session, confirming bearish price action.
• Fibonacci 61.8% level at $3674 offered limited support, but failed to trigger a rebound.
At 12:00 ET-1 on January 4, 2026, yearn.finance/Tether (YFIUSDT) opened at $3722, hit a high of $3758, and a low of $3638 before closing at $3665 at 12:00 ET. Total volume for the 24-hour period was 147.85, with notional turnover of approximately $533,143.
Structure & Key Levels
Price action showed bearish pressure as
Momentum and Indicators
RSI dipped below 30 during the morning ET session, indicating oversold territory, though a bearish divergence suggested further downside. MACD lines trended lower, with bearish crossovers reinforcing a weak near-term outlook.

Volatility and Volume
Bollinger Bands showed an expansion during the overnight sell-off, reflecting increased volatility. Turnover spiked notably between 02:00–04:00 ET, coinciding with a sharp drop from $3750 to $3664. Volume remained elevated during key bearish moves but lacked confirmation for a reversal.
Forward-Looking Perspective
With price now consolidating near the 20-period moving average on the 5-minute chart, a test of $3638 (prior low) appears likely. Traders should watch for a potential bounce at this level or a breakdown below it. A breakout above $3700 could signal a near-term reversal, but for now, bearish momentum dominates. Investors should remain cautious of further downside with limited immediate support.
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