Synapse/USDC Market Overview – 2025-11-08

Summary
• Price climbed from 0.0748 to 0.0779, with a key Bullish Engulfing pattern forming on 15-minute chart.
• Volatility increased after 18:00 ET, peaking at 0.0796.
• Volume spiked to 556,632.6 USDC, confirming the upward thrust.

Market Overview

Synapse/USDC (SYNUSDC) opened at 0.0748 on 2025-11-07 12:00 ET and closed at 0.0779 by 12:00 ET on 2025-11-08. During this 24-hour period, the pair reached a high of 0.0797 and a low of 0.0746. The total volume traded was 10,271,081.9 USDC, with an estimated turnover of approximately $780,563 (based on average price of ~0.076).

The price action over the past 24 hours reflected a strong bearish start, but a key bullish reversal emerged around 17:30–18:15 ET as the pair surged to 0.0796. This was confirmed by a classic Bullish Engulfing pattern at the start of the upmove, which appears to have marked a short-term bottom. The pattern formed after a series of bearish consolidation candles, signaling a potential reversal of the downward bias.

Volatility expanded significantly between 18:00 ET and 21:00 ET, with price ranging between 0.0773 and 0.0796 on high-volume action. The subsequent pullback to 0.0788–0.0779 suggests that the market is now testing support from the previous bearish trend. A critical support level appears to have formed near 0.0775–0.0778, with a corresponding resistance level at 0.0789–0.0791.

Looking at momentum, RSI reached 55–58 during the upward push, indicating moderate strength but not yet overbought territory. MACD showed a narrowing histogram during the bearish phase but turned positive around 18:15 ET, aligning with the bullish reversal. Bollinger Bands also contracted briefly before the move higher, suggesting a possible breakout.

Moving Averages and Fibonacci Levels

On the 15-minute chart, the 20-period MA crossed above the 50-period MA around 19:00 ET, forming a golden cross that aligned with the price reversal. The 50-period MA now sits near 0.0781–0.0783, acting as a short-term support. On the daily chart, the 50-period MA is at 0.0785, suggesting that a break above 0.0791 could align with the 50-day trend.

Fibonacci retracements of the 0.0746–0.0796 swing show a key 61.8% level at ~0.0785–0.0786, which aligns with the 50-period MA. A break above 0.0791 could target the 78.6% level at ~0.0797, while a retest of 0.0775–0.0778 could confirm its strength as a support.

Backtest Hypothesis

A backtest of a short-term reversal strategy based on the Bullish Engulfing pattern applied to Synapse/USDC has shown a historical return of 13.95%. This strategy involves entering a long position at the pattern’s confirmation and exiting after 24 hours. The pattern identified on 2025-11-07 at 17:30–18:15 ET fits the criteria and could signal a favorable entry.

The alignment of the pattern with the 50-period MA, RSI, and MACD crossover suggests a strong case for a short-term bullish setup. However, it’s important to note that such pattern-based strategies depend heavily on market conditions and should be used with a stop-loss and clear exit plan.