Summary
β’ Price broke below key support at $0.0730, closing at $0.0710.
β’ RSI and MACD signal bearish momentum, with RSI near oversold levels.
β’ Volatility expanded after 04:30 ET, with sharp price declines and increased volume.
β’ A potential short-term rebound appears likely near $0.0715β0.0720.
Market Overview
Yield Guild Games/Tether (YGGUSDT) opened at $0.0747 at 12:00 ET - 1, hit a high of $0.0760, and fell to a low of $0.0703 before closing at $0.0710 at 12:00 ET. Total volume was 11,112,481.1 USDT, with notional turnover reaching $779,462.26.
Structure & Formations
Price action showed a strong bearish bias from 04:30 ET onward, with a breakdown below prior support at $0.0730 and a subsequent test at $0.0715β0.0720. A potential bullish retracement could emerge if the pair holds above $0.0706, which now appears as a short-term support level.
Moving Averages
On the 5-minute chart, price closed below both 20 and 50-period moving averages, reinforcing the short-term downtrend. While not provided for the daily chart, the 200-period moving average likely remains far above the recent close, indicating a long-term bearish setup.
Momentum Indicators
MACD showed a bearish crossover, with the line dipping below the signal line. RSI approached oversold territory, suggesting a temporary pause or reversal may be due. However, these signals are not yet strong enough to confirm a reversal.
Volatility and Bollinger Bands
Volatility increased sharply after 04:30 ET, with price breaking out of a narrowing Bollinger Band. This expansion suggests heightened market uncertainty. Price closed near the lower Bollinger band, indicating potential for a retest of the midline or a rebound.
Volume and Turnover
Volume spiked during the key breakdown at $0.0730 and again during the decline to $0.0703, confirming the bearish move. Notional turnover mirrored this trend, aligning with price action and reinforcing the bearish case.
Fibonacci Retracements
Fibonacci levels from the prior swing high at $0.0760 to the low at $0.0703 indicate 61.8% at $0.0717 and 38.2% at $0.0738. Price appears to have rejected the 38.2% level, suggesting it may test the 61.8% level before potentially finding short-term support.
Market could test $0.0705β0.0710 for consolidation, but sharp moves in either direction remain likely amid heightened volatility. Investors should watch for potential divergence in RSI and a retest of $0.0720 for directional clarity.
Comments
ο»Ώ
No comments yet