ZILUSDT Breaks Key Support With Volume Confirmation

Summary
• Price action formed bearish engulfing patterns after 19:00 ET, signaling potential downward momentum.
• RSI approached oversold territory by 08:00 ET, suggesting possible short-term rebound potential.
• Bollinger Bands narrowed in the early morning, followed by a breakout to the downside after 10:00 ET.
• Notional turnover spiked during the 12:00–12:45 ET window, confirming the bearish move.
• 5-minute volume remained elevated during key bearish periods, validating bearish momentum.

Market Overview

Zilliqa/Tether (ZILUSDT) opened at $0.00455 at 12:00 ET – 1 and closed at $0.0042 at 12:00 ET, with a 24-hour high of $0.00464 and low of $0.00417. Total volume traded over the period was 194,199,449.4 ZIL, with a notional turnover of approximately $839,804. The pair appears to be consolidating lower, with bearish bias confirmed by volume and momentum.

Structure & Formations

Price formed a bearish engulfing pattern around 17:00–19:00 ET after a brief bullish push. This was followed by a series of lower highs and lower closes into the overnight session. Key support was seen near $0.00424, with a potential next target at $0.00417 if the breakdown continues. A bullish reversal may emerge near this level, though bearish pressure remains strong.

MACD & RSI

MACD lines showed bearish divergence during the early bearish phase, confirming the downtrend. RSI approached oversold territory (~30) by 08:00 ET, hinting at possible short-term buying interest, though it failed to produce a strong rebound. Momentum remains mixed, with bearish conviction holding strong into the early hours of ET.

Bollinger Bands

Bollinger Bands contracted in the early morning hours (02:00–07:00 ET), indicating low volatility. Price broke out to the downside after 10:00 ET, with the close at $0.0042 sitting near the lower band. The contraction may precede a broader move, either up or down, depending on market sentiment.

Volume & Turnover

Volume remained elevated during the key bearish periods (19:00–21:00 ET and 12:00–13:00 ET), confirming the strength of the sell-off. Notional turnover spiked during the 12:00–12:45 ET window, coinciding with a sharp decline from $0.00431 to $0.00427. The divergence between volume and price at 06:00–08:00 ET suggests potential exhaustion of bearish momentum.

Fibonacci Retracements

A 5-minute Fibonacci retracement applied to the $0.00417–$0.00431 swing indicates a potential 61.8% level near $0.00423, which has already served as a minor support. The 38.2% level at $0.00426 may also act as a potential near-term resistance if a rebound forms.

Over the next 24 hours, a test of $0.00424 could trigger a bounce or a deeper pullback toward $0.00417. Investors should watch for a potential reversal or breakout confirmation. As always, market volatility remains a risk, and stop-loss orders may be prudent near key support levels.