Market Overview for Zilliqa/Tether (ZILUSDT): Volatility and Short-Term Momentum on the Rise

Summary
• Price formed a bullish engulfing pattern near $0.00506, indicating potential short-term buying interest.
• RSI hit oversold levels below 30, hinting at possible near-term rebound potential.
• Volatility expanded during a late-night rally, suggesting accumulation around key support.
• Bollinger Bands show price near the upper band, signaling rising momentum amid tightened ranges.
• Turnover surged 62% during a 0.6% rally, confirming strength in recent upward moves.

Zilliqa/Tether (ZILUSDT) opened at $0.00503 on 2026-01-02 at 12:00 ET, reaching a high of $0.00515 and a low of $0.00501, closing at $0.00502 on 2026-01-03 at 12:00 ET. Total volume for the 24-hour period was 20.38 million ZIL, with notional turnover of $104,539.

Structure and Candlestick Formations

The chart revealed a bullish engulfing pattern at $0.00506, where price reversed from a bearish trend. A key support level appears to be consolidating at $0.00502, with a potential resistance zone forming at $0.00508. The asset also showed a series of higher lows and tighter ranges in the morning, indicating short-term stability.

Technical Indicators and Momentum

RSI dipped to 29 during the early morning hours, suggesting short-term oversold conditions. MACD crossed into positive territory after 22:00 ET, aligning with a breakout above $0.00510. Price remained within the Bollinger Bands, but volatility increased as the upper band widened in the late-night hours, pointing to accumulation ahead of the $0.00510 level.

Volume and Turnover Dynamics

Volume and turnover spiked by 62% during the 30-minute rally from $0.00506 to $0.00512, with over 3.8 million ZIL traded on the back of strong buyer participation. The rise in price was confirmed by the increase in turnover, suggesting genuine buying pressure rather than speculative or wash trading. A divergence emerged in the afternoon when price dropped but volume remained low, hinting at weak bearish conviction.

Volatility and Fibonacci Retracements

The 5-minute chart showed a 12.5% increase in volatility during the late-night rally, with price reaching the 61.8% Fibonacci retracement level of the previous 4-hour swing. The $0.00502 level has acted as a strong support area, now within the 38.2% retracement of the last bullish impulse.

Price appears to be consolidating in a constructive range ahead of key resistance. A break above $0.00510 may trigger further buying, but a retest of $0.00502 remains a critical near-term risk. Investors should monitor volume behavior on any test of support to confirm the strength of the current base.