Wrapped Bitcoin/Bitcoin (WBTCBTC) Market Overview for 2025-10-11

• Price declined from 1.0005 to 0.9998 over 24 hours, with bearish pressure in the evening.
• Volatility spiked with a 1.0001–0.992 range, but settled near 1.0001 at close.
• Volume spiked during key selloffs but showed weak follow-through in late hours.
• RSI signaled oversold conditions by the close, hinting at potential short-term bounce.
• Bollinger Bands expanded during the drop, with price hovering near the lower band.

Wrapped Bitcoin/Bitcoin (WBTCBTC) opened at 1.0004 on 2025-10-10 at 12:00 ET and fell to a 24-hour low of 0.992 before closing at 1.0001 on 2025-10-11 at 12:00 ET. The price ranged between 1.0005 (high) and 0.992 (low) with a total traded volume of 453.386 BTC and notional turnover of $63,545.78 (USD equivalent).

Structure & Formations

The 24-hour candlestick pattern showed a bearish bias with multiple rejection levels at 1.0001 and 0.9998 acting as key supports. A large bearish engulfing pattern formed between 2025-10-10 213000 and 214500, signaling a shift in momentum. A bullish reversal pattern emerged in the final hours, with the price closing near 1.0001 after testing 0.9998 twice. This suggests that the 0.9998–1.0001 range could serve as a consolidation zone.

Moving Averages

On the 15-minute chart, the 20-period and 50-period moving averages crossed several times, with the 20-period MA trending below the 50-period MA for most of the day, indicating a short-term bearish bias. On the daily chart, the 50-period MA was slightly above the 200-period MA, suggesting a mild bullish trend in the broader context.

MACD & RSI

The MACD showed bearish divergence in the evening with a drop in the histogram following the bearish engulfing pattern. RSI dipped into oversold territory below 30 for the first time late in the session, reaching 27 at 030000 before showing slight recovery. This suggests a potential near-term bounce, though sustained bullish momentum is yet to form.

Bollinger Bands

Bollinger Bands expanded significantly during the selloff, with price dropping below the lower band as low as 0.992. Volatility began to contract in the final 6 hours, with the price hovering between the middle and lower band. This tightening may indicate a period of consolidation ahead of a potential breakout.

Volume & Turnover

Volume spiked during key price moves, with a notable increase of 67.153 BTC at 021500 during the sharp decline. However, volume in the final 6 hours remained muted despite the slight rebound, suggesting weak conviction in the recovery. Total notional turnover was concentrated in three key timeframes, with the most significant spike occurring in the early hours of 2025-10-11.

Fibonacci Retracements

Applying Fibonacci retracements to the 24-hour range, the 38.2% level at ~0.9970 and the 61.8% level at ~0.9995 served as key price levels where the asset found support and resistance multiple times. The 1.0001–0.9998 range appears to be a Fibonacci confluence area that could offer strategic entry or exit points.

Backtest Hypothesis

Given the observed bearish engulfing pattern and subsequent consolidation, a potential backtest strategy could involve a short entry at the close of the engulfing candle (0.9998), with a stop just above 1.0005. A target of 0.9970 (38.2% Fibonacci level) and a trailing stop at 0.9995 could be tested for a bearish bias. This strategy could be further refined by incorporating RSI divergence and Bollinger Band contractions for confirmation of potential reversals.