Will Walrus avoid deeper losses as oversold signals limit selling?

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Walrus drops 8.44% today to $0.0347

Highlights

DATA Network has completed integration with Sui blockchain and named Walrus as its default decentralized storage for large-scale AI datasets.
Walrus gains expanded operational scope by supporting provenance-verified AI data and becoming default storage for DATA Foundation applications during the Sui migration.
WAL/USD remains in a clear short- and long-term bearish trend, with momentum and volume indicators confirming strong seller control; projected trading range for the next 2 to 3 days is $0.0322 to $0.0372 with a high probability of further downside.

Utility expansion as DATA integration broadens Walrus's AI role amid muted flows

DATA Network has completed its integration with the Sui blockchain and chosen Walrus as its default decentralized storage layer to support provenance-verified, large-scale datasets for AI applications, according to Htx. This confirmed tie-in expands the fundamental utility of the Walrus network by positioning it at the center of data integrity and access control for AI training, though realized demand effects are yet to be observed in transactional flows. Additionally, Walrus now serves as the default storage layer for DATA Foundation applications during DATA Network's migration to Sui, broadening its operational scope in the regulated AI data segment, as reported by Grafa.

Technical momentum weakens as short- and long-term resistance intensifies

On the H1 timeframe, WAL/USD trades below the MA-20 at $0.0371 and MA-50 at $0.0375, remaining significantly beneath the long-term MA-200 at $0.0441. Immediate resistance is highlighted by the Ichimoku Kijun at $0.0369. Momentum indicators MACD and ADX are positioned in sell mode, confirming the downward trend, while RSI is at 36.58. Both Stochastic RSI and CCI register oversold levels, with Bull/Bear Power consistently showing seller dominance intraday. The Awesome Oscillator signals persistent momentum to the downside.

Further declines likely as support tests and resistance caps reversal risk

Over the next 2–3 trading days, expected volatility should see WAL/USD fluctuate in a $0.0322 to $0.0372 band. There is a high probability of continued downward movement, and only a break above the $0.0369 resistance would open the path for a short-term reversal. If the lower boundary of $0.0322 fails to hold, further bearish extension could materialize, while consolidation within the forecast corridor is the baseline scenario.

Viktoras Karapetjanc, expert at Traders Union, sees Walrus’s integration into DATA Network and adoption on Sui blockchain as a strong long-term signal for utility and ecosystem relevance. However, he notes that the current price momentum remains weak, with technicals still pointing to seller dominance. Fundamentals are improving, but realized demand has yet to support price action. The analyst remains constructive as macro and adoption factors build in the background. "I believe that increased institutional utility is laying the groundwork for future upside, even if short-term pressure persists."

Previously it was reported that DATA Network selected Walrus as its default storage layer in conjunction with its migration to the Sui blockchain, expanding Walrus's role in AI data infrastructure. The latest price action suggests that, despite these fundamental developments, traders should monitor the $0.0322 support as a potential trigger for further downside risk if breached.

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

The information is based on forecasts and does not constitute investment advice or a guarantee of future results. Market conditions may change. See our Disclaimer and Editorial Integrity for details.