World Liberty Financial USD/Tether Market Overview

Summary
• Price action broke downward at 1.0011, forming a bearish engulfing pattern.
• Momentum weakened as RSI dropped below 30, indicating oversold conditions.
• Volume surged at the breakdown, confirming the short-term bearish bias.
• Bollinger Bands showed volatility expansion, with price near the lower band.
• Fibonacci retracement at 61.8% aligns with 1.0011, offering short-term support.

World Liberty Financial USD/Tether (USD1USDT) opened at 1.0017 at 12:00 ET − 1, peaked at 1.0019, and dropped to a low of 1.0011 before closing at 1.0018. Total volume was 12,406,673, and turnover reached 12,469,277.42.

Structure and Candlestick Formations

A key bearish engulfing pattern emerged near 1.0011, confirming a breakdown from consolidation. The 1.0011 level aligns with the 61.8% Fibonacci retracement of a recent 5-min rally and could serve as near-term support. A doji appeared near 1.0015, hinting at indecision.

Indicators and Momentum

The RSI dipped below 30 after 20:00 ET, signaling oversold territory. MACD turned negative and crossed under the signal line, reinforcing bearish momentum. However, divergence between volume and price is limited, suggesting the move could hold.

Volatility and Bands

Bollinger Bands widened as the price approached the lower band, reflecting increased volatility. The 20-period moving average drifted lower, tracking the breakdown trend.

The breakdown at 1.0011 may see some short-term buying, but a retest below 1.0011 could trigger further downside. Investors should remain cautious of potential short-covering rallies.