WalletConnect Token/BNB (WCTBNB) Market Overview

• WCTBNB fell 12.5% over 24 hours, with a sharp drop below $0.0001400.
• Price tested key support levels multiple times, with mixed volume confirmation.
• Volatility expanded mid-session, followed by consolidation near $0.0001395.
• RSI signaled oversold conditions, suggesting potential short-term bounce.

At 12:00 ET–1 on 2025-10-10, WCTBNB opened at $0.0001924, reaching a high of $0.0001925 and a low of $1.53 \times 10^{-5}$ before closing at $0.0001412 at 12:00 ET on 2025-10-11. Total traded volume amounted to 88,645.2 tokens, while notional turnover reached $12.56. The session witnessed significant downward momentum with a volatile breakdown followed by a consolidation phase.

Structure & Formations

Price action over the 24-hour period displayed a bearish breakdown from a key resistance zone around $0.0001850, with a sharp decline into the lower $0.0001400s. A large bearish engulfing pattern was visible around $0.0001859–$0.0001621, confirming a shift in sentiment. A series of lower highs and lower lows defined the structure, with a potential support cluster emerging between $0.0001380 and $0.0001395. A morning doji at $0.0001415 and a late consolidation doji suggest traders are evaluating the next move.

Moving Averages

On the 15-minute chart, price remained below both the 20-EMA and 50-EMA for the majority of the session, reinforcing a bearish bias. On the daily chart, the 50-EMA crossed below the 200-EMA, suggesting a possible continuation of the downtrend. The 100-EMA provided additional resistance near $0.0001420, which was retested but failed to hold.

MACD & RSI

MACD turned negative early in the session and remained bearish, with the histogram showing a sharp divergence from the price as volume decreased. RSI dropped into oversold territory around $0.0001395, signaling a potential bounce. However, a failure to close above the 50 RSI line suggests the rally may remain limited in scope and duration.

Bollinger Bands

Volatility surged around 21:00–22:00 ET, pushing price outside the lower Bollinger band as the breakdown occurred. The band width widened significantly during this period, indicating increased uncertainty. Price has since consolidated closer to the middle band, with the upper band hovering near $0.0001420 and the lower band near $0.0001390, defining a key range.

Volume & Turnover

Volume spiked during the breakdown phase, with over 83,000 tokens traded at the $0.0001800 level. Notional turnover aligned with this volume, confirming the move. However, in the final hours of the session, volume declined sharply despite price fluctuations, suggesting a lack of conviction in short-term traders. Divergences between price and volume were noted during late consolidation, signaling potential exhaustion.

Fibonacci Retracements

Applying Fibonacci to the recent swing from $0.0001925 to $1.53 \times 10^{-5}$, the 38.2% level at $0.0001396 and the 61.8% level at $0.0001391 were both tested during the final hours. A bounce off the 61.8% level aligns with the RSI’s oversold signal and could suggest a small rebound. However, without confirmation above the 50-EMA, the bearish structure remains intact.

Backtest Hypothesis

A potential backtesting strategy could involve entering a short position on a confirmed breakdown below a key support level (e.g., $0.0001395) with a stop loss placed just above the nearest Fibonacci or moving average resistance. The target would be a retracement to the next support level or a continuation below $0.0001380, using volume spikes as confirmation. This approach would align with the observed bearish structure and MACD divergence. For a long bias, a small countertrend trade could be considered on a retest of the 38.2% Fibonacci level with volume confirmation.