Market Overview for Yearn.finance/Tether (YFIUSDT)

Summary
• YFIUSDT tested key support at $3,500, with bearish momentum intensifying after 22:00 ET-1.
• A bearish engulfing pattern formed near $3,580, signaling potential continuation lower.
• Turnover expanded during the descent, confirming the strength of the sell-through.
• RSI and MACD showed divergence near $3,600, hinting at possible bearish exhaustion.
• Volatility expanded after 19:30 ET-1, with price moving between $3,500 and $3,640.

The pair opened at $3,640 on January 14 at 12:00 ET, reached a high of $3,643, and closed at $3,554 by January 15 at 12:00 ET, with a low of $3,483. Total volume was 146.29 BTC, and turnover amounted to $522,369. Yearn.finance/Tether showed a broad consolidation during Asian and European hours but began a sharp decline into overnight U.S. trading.

Structure & Formations

Price tested the $3,500 psychological level and briefly bounced, forming a small hammer-like reversal pattern. However, the subsequent bearish engulfing pattern at $3,580 suggested further downside potential. The 24-hour low at $3,483 could mark a new near-term support level if buyers reengage.

Moving Averages

On the 5-minute chart, the 20-period MA crossed below the 50-period MA, confirming bearish momentum. Daily 50-period and 200-period MAs were in a bullish alignment, but the recent price action has pulled YFIUSDT closer to the 50 MA, suggesting a possible retest of that level for support.

MACD & RSI

The MACD line turned negative and crossed below the signal line, reinforcing the bearish bias. RSI dropped to 28 near the 24-hour low, indicating oversold conditions, but failed to trigger a strong rebound, suggesting lingering bearish sentiment.

Bollinger Bands

Volatility remained above average, with the bands widening after a contraction earlier in the session. The price tested the lower band at $3,483, a potential trigger for short-term buyers, but failed to close above the 20-period MA, which may cap near-term rallies.

Volume & Turnover

Trading activity increased significantly during the decline, with the largest volume spike occurring after 19:30 ET-1. Turnover and price aligned in the downward move, providing confirmation for the bearish narrative. However, a divergence between falling price and rising turnover after 03:30 ET suggests potential exhaustion.

Fibonacci Retracements

The 61.8% retracement level of the $3,483–$3,643 move sits near $3,536. Price briefly approached this level but failed to hold, indicating that the 50% retracement at $3,562 may now serve as a critical pivot for the next 24 hours.

While the 24-hour move suggests a probable continuation lower, a rebound off $3,500 could trigger a test of the 38.2% retracement at $3,587. Investors should monitor volume for confirmation of any short-covering or accumulation in that range.