$FRAX
The asset is currently experiencing a significant de-peg event. As a stablecoin intended to be worth $1.00, FRAX is currently trading at $0.8606. While the chart shows a "Gainer" status of +8.77% on the 24h frame, this is relative to a deep crash to $0.7883. The 1-hour candles show a failed attempt to recover at $0.9429, followed by a series of lower highs and lower lows, indicating that selling pressure remains high and the "re-peg" confidence is shaky. The volume is tapering off during this slide, suggesting a lack of aggressive buying interest at these levels.
Trading Setup (Mean Reversion)
Since this is a stablecoin, the trade is essentially a bet on the protocol's ability to return to its $1.00 peg.
* Trade Sentiment: High-Risk Bullish (Betting on Re-peg).
* Entry Zone: Between $0.8400 – $0.8600. Look for a double bottom on smaller timeframes (15m) before committing.
* Target 1: $0.9130 (Recent resistance level).
* Target 2: $0.9400 (Previous local peak).
* Target 3: $0.9850 (Near-peg restoration).
* Stop Loss: Below $0.7800. If it breaks the 24h low, the de-peg may worsen significantly.
> ⚠️ Critical Note: Trading de-pegged stablecoins is extremely volatile. If the underlying collateral or protocol mechanism is compromised, the price may not return to $1.00. Use strict risk management and only capital you are prepared to lose.