Market Overview for WAXPUSDT: Rising Momentum Amid Volatility

• Price rose 0.87% from $0.0195 to $0.01956 on strong volume near the close.
• A bullish engulfing pattern emerged after 04:15 ET, confirming a short-term reversal.
• Volatility surged late into the night, with a 0.36% 15-minute move to $0.01975.
• RSI briefly entered overbought territory, indicating possible near-term profit-taking.
• Bollinger Bands show price has expanded above the midline, signaling higher momentum.

The WAX/Tether USDt pair (WAXPUSDT) opened at $0.0195 on 2025-09-05 at 12:00 ET, reached a high of $0.01975, touched a low of $0.01945, and closed at $0.01956 on 2025-09-06 at 12:00 ET. Total volume was 10,606,700, with a notional turnover of approximately $206,800. Price action revealed a strong upward bias from late in the night, driven by increased participation and a bullish breakout.

Structure & Formations

Key support levels identified in the 24-hour data include $0.01945 and $0.0195, both tested multiple times, while resistance emerged near $0.01965 and $0.01975. A strong bullish engulfing pattern formed after 04:15 ET, confirming a reversal from a downward trend. A doji appeared around $0.01964, suggesting indecision but not reversal. A descending wedge pattern formed between $0.0196 and $0.01975, indicating potential for a breakout or continuation.

Moving Averages

On the 15-minute chart, price remained above the 20-period and 50-period moving averages, suggesting short-term bullish bias. The 50-period MA crossed above the 100-period MA earlier in the day, reinforcing the upward trajectory. On the daily chart, price appears to be testing the 200-period MA, which may serve as a psychological support level.

MACD & RSI

MACD remained positive throughout most of the day, with a strong histogram peak around 06:00 ET suggesting a surge in momentum. RSI pushed into overbought territory (above 60) between 02:00 and 04:00 ET, indicating a potential pullback. However, the subsequent rally confirmed buying pressure. RSI has since consolidated around 58, suggesting a balanced market with room for further upward movement if demand continues.

Bollinger Bands

Bollinger Bands expanded significantly after 02:00 ET, reflecting increased volatility. Price spent the majority of the session above the midline, with several candles closing near the upper band. This behavior indicates strong bullish momentum and higher probability of continuation, though a potential reversal could occur if price closes below the 20-period MA.

Volume & Turnover

Volume spiked late at night and early morning, particularly between 02:00 and 06:00 ET, coinciding with the sharp move up to $0.01975. Notional turnover mirrored volume, with large volumes confirming the price increase. A divergence appeared between volume and price at 07:30 ET when volume dropped while price remained above key moving averages. This may signal a temporary pause in momentum.

Fibonacci Retracements

Key Fibonacci levels for the 15-minute chart include 61.8% at $0.01965 and 38.2% at $0.01958. Price tested the 61.8% level and bounced off it, confirming it as a dynamic support. On the daily chart, the 61.8% retracement from the previous downtrend is at $0.01956, matching the 24-hour close. This alignment suggests a possible consolidation or resumption of the upward move.

Backtest Hypothesis

A potential backtest strategy could involve a breakout trigger above the 61.8% Fibonacci level on the 15-minute chart, confirmed by a bullish engulfing pattern and strong volume. This signal may suggest an aggressive entry with a stop-loss placed below the 38.2% retracement level at $0.01958. A target could be set at the upper Bollinger Band or the next resistance at $0.01965. This setup aligns with the current bullish indicators and could be tested for a 3–5 candle holding period to capture short-term momentum.