Market Overview for WAX/Tether (WAXPUSDT) on 2025-10-08

• WAXPUSDT traded between $0.01697 and $0.01739 in 24 hours, with a modest 0.18% decline in price.
• Volatility expanded in the early hours of October 8, with a sharp drop from $0.01729 to $0.01704 in 30 minutes.
• Price remains within a tight range of $0.01714–$0.01734 in the last 6 hours, suggesting consolidation.
• Turnover spiked during the sharp drop, but no sustained buying pressure followed, raising bearish concerns.
• Momentum indicators suggest oversold conditions in the short term, but with diverging volume, caution is advised.

WAXPUSDT opened at $0.01719 on 2025-10-07 at 12:00 ET and closed at $0.01708 on 2025-10-08 at 12:00 ET. The pair reached a high of $0.01739 and a low of $0.01697 in the 24-hour period. Total volume amounted to 42,871,286.0 WAX with a notional turnover of approximately $725,862.58.

The price action over the 24-hour period shows a bearish consolidation phase, with price bouncing between key levels of $0.01714–$0.01734 after a brief sharp drop earlier in the session. A notable bearish engulfing pattern formed at $0.01729–$0.01704, indicating short-term weakness. The 15-minute chart shows no strong bullish or bearish momentum, with the price failing to close above resistance levels above $0.01730 or below support levels at $0.01712–$0.01710. A Doji candle formed at $0.01713 in the early morning, signaling indecision in the market.

Structure & Formations

Key support levels currently include $0.01710–$0.01712, where multiple candles have closed near or at these levels, indicating a potential short-term floor. Resistance levels are forming at $0.01729–$0.01730, where price has stalled on multiple attempts to break through. A bearish engulfing pattern at $0.01729–$0.01704 and a doji at $0.01713 indicate a period of uncertainty and lack of conviction among traders.

Moving Averages

On the 15-minute chart, the 20-period moving average currently sits at $0.01718 and the 50-period at $0.01721, indicating a slight bearish bias as the price sits below both. On the daily chart, the 50-period moving average is at $0.01720 and the 200-period at $0.01727, suggesting long-term bearish momentum if the price fails to break above the 200-period level.

MACD & RSI

The MACD line on the 15-minute chart is at -0.000003, with the signal line at -0.000002, indicating a bearish divergence. The RSI is currently at 38, entering oversold territory, but with no corresponding volume spikes, this may not confirm a strong reversal. The MACD histogram is shrinking, signaling fading bearish momentum.

Bollinger Bands

Volatility has increased slightly, with the Bollinger Bands expanding in the early hours of October 8. The price closed at $0.01708, near the lower band of $0.01708, suggesting a possible test of the lower support level. If the price breaks below this level, a further decline toward $0.01705–$0.01702 could follow.

Volume & Turnover

Volume spiked during the bearish engulfing pattern at $0.01729–$0.01704, with a notional turnover of $220,000 during that period. However, subsequent volume has remained muted, indicating a lack of follow-through on the bearish move. Divergences between price and volume suggest a lack of conviction in the current trend, raising the possibility of a reversal.

Fibonacci Retracements

Applying Fibonacci retracements to the recent 15-minute swing from $0.01697 to $0.01739, key levels include 38.2% at $0.01720 and 61.8% at $0.01712. The price has been testing these levels repeatedly, and a break below $0.01712 could open the door for a decline toward $0.01705. On the daily chart, a 61.8% retracement level is near $0.01715, which could serve as a near-term floor.

Backtest Hypothesis

The proposed backtesting strategy involves entering short positions on WAXPUSDT when the price closes below the 20-period moving average and the RSI drops below 40, confirming oversold conditions. A stop-loss is placed just above the nearest resistance level (e.g., $0.01729), and a take-profit is set at the 61.8% Fibonacci retracement level. Given the current price near $0.01708, this strategy would trigger a short entry with clear risk and reward parameters.