Market Overview for Worldcoin/Tether (WLDUSDT) – October 9, 2025

• WLDUSDT rose from $1.185 to $1.287, showing strong bullish momentum before retreating.
• RSI and MACD suggest overbought conditions emerged around $1.280.
• Volatility spiked during the 20:45–21:00 ET rally, with high turnover.
• Price consolidated below key resistance at $1.280–1.287 before closing near $1.208.
• Key support at $1.198–1.200 appears to hold as the 24-hour low.

The WLDUSDT pair opened at $1.185 on October 8, 12:00 ET, and reached an intraday high of $1.287 by 20:45 ET. After a brief consolidation, it closed at $1.208 at 12:00 ET on October 9. Over the 24-hour period, total volume amounted to 41,241,174.8 and notional turnover totaled $50,606,415.03 (assuming average price of ~$1.226). Price showed a sharp rally, forming a bullish flag pattern before pulling back.

Structure & Formations

The candlestick pattern indicates a strong rally starting from $1.185, with a breakout above $1.260 followed by a retest of key resistance near $1.280. A failed breakout above $1.280 led to a pullback into a consolidation phase, with key support forming at $1.200–1.198. The retracement levels of the 15-minute rally suggest $1.254 (38.2%) and $1.238 (61.8%) as possible areas for price to stall or reverse. A long lower shadow and bearish spinning top at the close of the 02:00–02:15 ET candle suggest indecision and potential bearish continuation.

Moving Averages and MACD / RSI

The 20- and 50-period moving averages on the 15-minute chart were clearly bullish during the initial rally, with price above both. However, by the close, price had fallen below both, signaling a potential bearish reversal. The 50-period moving average on the daily chart was at ~$1.23, slightly below the 100- and 200-day MAs (~$1.24 and $1.26 respectively), indicating a possible bearish bias for the longer term. The MACD showed a bearish crossover as the 12-period line fell below the 26-period signal line near $1.27, while the RSI peaked above 70 before dropping below 50, suggesting overbought conditions and a pullback in momentum.

Bollinger Bands and Volatility

Volatility expanded during the 20:45–21:15 ET rally, with price pushing above the upper Bollinger Band. This was followed by a contraction phase, with price settling near the lower band after the close. A contraction in the bands could signal a potential breakout or a continuation of the current bearish trend. The narrowing band and falling RSI suggest a potential reversal or consolidation phase ahead.

Volume & Turnover Analysis

Volume spiked significantly during the 20:45–21:00 ET rally, with turnover surging as price moved from $1.272 to $1.279. This suggests strong buying interest at the top. However, the volume in the subsequent bearish candle (00:15–00:30 ET) was relatively high but lacked follow-through, suggesting potential exhaustion or profit-taking. A divergence between volume and price movement after the peak could be an early warning sign for traders to monitor.

Backtest Hypothesis

Given the observed price action, a backtest could involve entering a short position near the upper Bollinger Band when RSI exceeds 70 and volume declines after a sharp rally. A stop-loss could be placed above the 50-period moving average or a recent swing high, while the first target would be the 38.2% Fibonacci retracement level. A trailing stop could be used after price confirms a bearish reversal pattern, such as a bearish engulfing or a bearish divergence in the MACD. The strategy would benefit from filtering trades that show confirmation of bearish momentum and divergence in the RSI.