Market Overview for Worldcoin/Tether (WLDUSDT) - 2025-10-18

• WLDUSDT tested key resistance at 0.890 before retreating, consolidating near 0.885.
• RSI and MACD suggest weakening momentum with overbought levels, hinting at potential pullback.
• Volatility expanded during the day, with volume peaking near the 0.895 high, signaling mixed conviction.
• Bollinger Bands show price near the upper channel, suggesting a possible short-term reversal.
• Fibonacci levels at 0.886 and 0.894 are critical for near-term direction.

Worldcoin/Tether (WLDUSDT) opened at 0.856 on October 17 at 12:00 ET, surged to a high of 0.900, and closed at 0.886 at 12:00 ET on October 18. The pair traded on a 24-hour volume of 18,017,141.5 and a notional turnover of $15,722,029.10. Price action suggests a mixed session, with bullish attempts countered by bearish consolidation.

Structure & Formations

The candlestick structure shows a key bullish breakout attempt at 0.890, followed by a rejection and consolidation around 0.886. A series of doji and long-wicked candles near 0.895 and 0.885 indicate indecision among traders. A strong bearish engulfing pattern formed after the 0.900 high, suggesting short-term profit-taking and bearish momentum. The 0.885-0.895 range appears to be a critical zone for near-term support and resistance.

Moving Averages

On the 15-minute chart, the 20-period and 50-period moving averages crossed above the price during the bullish breakout but have since pulled back, now aligning with the 0.886-0.888 range. On the daily chart, the 50-period MA is at 0.879, the 100-period MA at 0.872, and the 200-period MA at 0.865. Price remains above the 50-period MA, suggesting a mildly bullish bias, though the 100/200-period MA act as potential long-term support.

MACD & RSI

The MACD line shows a recent divergence as it declined despite price holding above 0.885, indicating possible bearish pressure. The histogram has been shrinking, signaling weakening momentum. The RSI reached overbought territory above 70 earlier in the session and has since retreated to 68, suggesting a potential pullback toward the 0.882-0.878 zone. Overbought conditions could persist if bullish buyers step in, but a breakdown below 0.880 could trigger deeper corrections.

Bollinger Bands

Bollinger Bands expanded during the 0.890-0.900 breakout, with the upper band reaching as high as 0.903. Price has since consolidated near the lower band at 0.883–0.886, suggesting a potential bounce or continuation of the consolidation. A move above the upper band may indicate renewed bullish momentum, but a close below the lower band would signal a breakdown in the current range and possible bearish continuation.

Volume & Turnover

Volume spiked during the 0.890–0.900 rally, with the highest 15-minute volume of 562,932.2 at 01:30 ET when price hit 0.884. Notional turnover also saw a surge during this period, confirming the price move. However, volume has since decreased, and the lack of follow-through suggests weakening conviction. A divergence between price and volume could indicate a potential reversal.

Fibonacci Retracements

Applying Fibonacci retracements to the 0.856–0.900 swing, the 38.2% level is at 0.878 and the 61.8% level at 0.892. Price is currently consolidating near the 61.8% level, which could either act as a magnet for buyers or a barrier to further upside. A break below the 0.878 level would target the 0.870–0.865 zone, which is a key Fibonacci support.

Backtest Hypothesis

The proposed backtest strategy uses RSI as a momentum filter, with a 14-period setting and an overbought threshold of 70. The strategy enters long positions at the next day’s open after RSI crosses above 70 and exits when the position reaches a 10% profit. This approach assumes a relatively high-risk, high-reward setup, with WLDUSDT’s recent volatility offering potential opportunities. The strategy would benefit from a strong close above 0.895 to trigger a buy signal for the next session. Given the current RSI at 68, a close above 0.900 would meet the entry condition. However, given the bearish divergence in MACD and the weakening volume, the strategy may require additional confirmatory signals before execution.