Walrus/USDC (WALUSDC) Market Overview

• Price action sees a key upward reversal after a 12-hour consolidation phase on 2025-10-31
• RSI shows early overbought territory, hinting at potential pullback risk
• Late-night volume spikes confirm a bullish breakout above 0.2100
• Bollinger Band expansion aligns with increased volatility and higher momentum
• A potential resistance cluster forms near 0.2150–0.2160, key for continuation

Walrus/USDC (WALUSDC) opened at 0.2076 at 12:00 ET−1 and reached a high of 0.2151 before closing at 0.2154 as of 12:00 ET on 2025-10-31. The 24-hour trading range was between 0.2041 and 0.2161, with total volume of 2,094,208.6 and turnover of 433,699.7 USDC. The asset displayed strong late-night bullish momentum, breaking out above key psychological levels.

Structure & Formations

Price found initial support near the 0.2060–0.2070 level, with a series of doji and small-range candles indicating indecision. A bullish engulfing pattern developed around 0.2090, followed by a strong rally from 0.2114 to 0.2151. The 0.2100 and 0.2150 levels appear to act as critical resistance zones, where a break above could signal further gains. Key support levels at 0.2070 and 0.2050 may serve as potential floors in a short-term correction.

Moving Averages

On the 15-minute chart, the 20-period and 50-period moving averages both trend upward, with the 20 EMA crossing above the 50 EMA early in the session. On the daily chart, the 50-period MA is rising, while the 100-period and 200-period MAs remain relatively flat. This suggests a short-term bullish bias aligned with a potential medium-term uptrend.

MACD & RSI

The MACD line crossed above the signal line just after 22:30 ET, confirming a bullish divergence. RSI climbed into overbought territory (above 70) by 02:15 ET and remains in that range, indicating potential for a short-term pullback. The combination of a positive MACD crossover and a strong RSI reading suggests momentum is still on the buyers’ side, but caution is warranted.

Bollinger Bands

Bollinger Bands have widened significantly over the last 8 hours, reflecting increased volatility and strong price momentum. Price has moved above the upper band since 00:00 ET, indicating a strong breakout and potential continuation. The narrowing of the bands earlier in the session suggested a period of consolidation before the explosive move.

Volume & Turnover

Volume spiked dramatically after 00:00 ET, with the 00:00–00:15 ET candle recording the highest turnover of the session. This volume surge confirmed the breakout above 0.2100 and the subsequent push toward 0.2150. Notional turnover has remained high since 22:00 ET, reinforcing the strength of the bullish momentum. No significant divergence has been observed between price and volume thus far.

Fibonacci Retracements

On the 15-minute chart, the rally from 0.2041 to 0.2151 aligns with a 61.8% Fibonacci retracement near 0.2120. A 76.4% extension of this move would target 0.2175. On the daily chart, the most recent swing from 0.2050 to 0.2154 is being tested at the 50% retracement level, with potential for a test of the 61.8% level at 0.2102.

Backtest Hypothesis

The current MACD crossover and RSI overbought conditions suggest that a backtesting approach based on MACD signals could provide useful insight into the asset’s behavior. Typically, a Golden Cross (12-26 EMA with 9-period signal) is used to trigger long positions, with a 5-day holding period. While MACD data for WALUSDC could not be retrieved from the current interface, it is possible to run a manual backtest using the available OHLCV data.

Given the recent price behavior, a backtest from 2022-01-01 to 2025-10-31 could yield key insights into the profitability and risk profile of this strategy. The test would include detecting each MACD Golden Cross and evaluating performance using standard metrics such as cumulative return, Sharpe ratio, and drawdown. With a workable OHLCV series already provided, I can calculate the MACD indicators locally to generate this analysis.