What triggered Walrus's latest price pullback

Traders Union
All News
Crypto News
Walrus slides 10.01% today

Highlights

WAL/USD remains under sustained bearish pressure, trading below key moving averages and failing to reclaim higher levels.
Price is expected to consolidate between $0.07 and $0.08 over the coming week, reflecting limited buyer support.
Despite minor intraday bullish signals, momentum and oscillator indicators highlight prevailing downside risk with a likely bearish extension if $0.07 breaks.

Anton Kharitonov, expert at Traders Union, highlights sustained downside momentum for WAL as it trades well below all major moving averages. He notes the lack of supportive news and sees bearish technical readings dominating, with oversold conditions failing to attract meaningful buyers. The sharp 10.01% daily drop and lack of institutional participation are warning signs. Short-term support at $0.07 is fragile, and even minor rebounds lack conviction. "Until we see genuine buying interest or new positive catalysts, I remain extremely cautious on WAL," says Kharitonov.

Viktoras Karapetjanc, expert at Traders Union, views the current sell-off as an opportunity, emphasizing potential rebounds from the $0.07–$0.08 range. He believes volatility and recent oversold indicators could set the stage for bullish setups. Despite a lack of short-term news, the technical backdrop offers scope for upward momentum if buyers reclaim key resistance. "A move above $0.08 could rapidly restore bullish sentiment and attract fresh inflows," Karapetjanc asserts.

Jainam Mehta, market strategist, takes a scenario-based view. He notes the range-bound forecast and mixed momentum signals, advising caution until clear directional cues emerge. The tactical setup could favor contrarian entries if volatility persists around support. "If momentum diverges and $0.07 holds, there could be room for a short-term bounce," says Mehta.

Conflicting momentum signals as sellers dominate after sharp gap down

WAL/USD is trading below the 20-day ($0.0767) and 50-day ($0.0737) simple moving averages, suggesting short- and medium-term downside momentum, and remains well under the 200-day ($0.1156) level, which highlights continuing long-term bearish pressure. The nearest dynamic resistance is around the Ichimoku Kijun level at $0.0846, while the 50-day moving average at $0.0737 acts as initial dynamic resistance.

Momentum signals present a mixed picture on the daily chart. The MACD and Average Directional Index (ADX) show an ongoing bullish undertone, yet the Relative Strength Index (RSI) and Stochastic RSI confirm oversold conditions and continued selling pressure, with the CCI in neutral territory. Bull/Bear Power (BBP) indicates that buyers still hold marginal intraday control with a value slightly above zero, which comes even as the pair posted a sharp downside gap of approximately $0.0038 and a significant drop of 10.01%, setting the tone near the daily low. Intraday volatility stands at 6.64%. The Awesome Oscillator does not add clear confirmation to the current trend. The overall intraday tone is under pressure following the open, with downside momentum in line with weaker price action and only limited buyer support.

Earlier, analysts noted that Walrus was experiencing persistent bearish momentum, with technical signals continuing to favor sellers despite brief recovery attempts. The latest price action and mixed intraday signals reinforce a cautious outlook, making it imperative for traders to monitor for a decisive move below $0.07, which could accelerate downside risk in the near term.

Source of Data: WAL Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.