Wrapped Beacon ETH/Ethereum Market Overview

• • •

• Price surged from 1.0784 to 1.073 before consolidating around 1.0717.
• High volatility observed with a major breakdown from 1.0788 to 0.2012 mid-day.
• Volume spiked during the selloff but declined afterward, suggesting potential exhaustion.
• RSI and MACD suggest oversold conditions at close.
• Bollinger Bands indicate recent price contraction.

Wrapped Beacon ETH/Ethereum (WBETHETH) opened at 1.0784 on 2025-10-10 at 12:00 ET and traded as low as 0.2012 before closing at 1.0717 on 2025-10-11 at 12:00 ET. The price touched a high of 1.0788 and a low of 0.2012 in the 24-hour period. Total volume was 80,598.81 units, with a notional turnover of approximately 71,769.47 (based on average price of ~0.906).

Structure & Formations

Price action over the last 24 hours exhibited a dramatic sell-off from 1.0788 to 0.2012, with a swift recovery in the final 6 hours. This sharp move formed a bearish engulfing pattern during the breakdown and later a bullish continuation pattern as price rebounded. Notably, a long lower shadow was observed at the close of the session, suggesting a possible rejection of lower levels. A key support level appears to be forming around the 1.068–1.0717 range, with resistance potentially at 1.073–1.075. A doji formed near the close as well, indicating indecision among buyers and sellers.

Moving Averages

On the 15-minute chart, the 20-period MA crossed below the 50-period MA in the morning, signaling bearish momentum during the selloff. By the close, the 20 MA had begun to turn upward while the 50 MA remained flat, suggesting a potential short-term reversal. On a daily timeframe, the 50 and 200-period MAs remain in a bearish alignment, though the price is now retesting this setup with a potential for a bullish crossover in the next 24–48 hours if the recovery continues.

MACD & RSI

MACD turned negative during the selloff and remained below the signal line, reinforcing the bearish sentiment. However, it is now returning toward the neutral zone, with the histogram showing a contraction in bearish momentum. RSI reached oversold territory near 30 by the close, suggesting the likelihood of a short-term bounce. While not a strong overbought signal, this combination implies a possible reversal could be in play, especially if price manages to hold above 1.0715.

Bollinger Bands

Bollinger Bands expanded during the selloff, with prices falling sharply below the lower band before consolidating within the bands. The most recent session closed near the middle band, indicating a potential turning point in volatility. If price remains above the 1.0715 level, the bands may contract again, signaling a possible period of consolidation followed by a breakout.

Volume & Turnover

Volume surged during the selloff, peaking at 3020.3961 units, which confirmed the bearish move. However, in the final 6 hours, volume dropped significantly as price recovered, showing a lack of follow-through bearish pressure. Notional turnover followed the same trend, peaking during the breakdown and declining during the rebound. The lack of volume in the recovery phase suggests the bounce may be short-lived unless more buyers step in to confirm higher levels.

Fibonacci Retracements

Fibonacci levels drawn from the 1.0788 high to the 0.2012 low indicate a critical 61.8% retracement at approximately 1.0715, where price closed near the end of the session. This level may act as a key support/resistance zone in the next 24–48 hours. The 50% retracement is at 1.075, which could be a potential target for short-term bullish momentum if the rally continues.

Backtest Hypothesis

The described backtesting strategy focuses on a short-term reversal pattern using MACD and RSI to identify potential bounces in oversold conditions, confirmed by price action near key Fibonacci levels and volume divergence. A buy signal is generated when RSI drops below 30, MACD crosses back above the signal line, and volume on the recovery candle is less than the prior sell-off, indicating no bearish confirmation. Given the recent formation at 1.0715, this setup may be in play for WBETHETH, with a target at the 61.8% retracement level and a stop-loss below the 1.0671 support.