Why is WCT’s price down today?
TLDR:
Wallet Connect Token (WCT) dropped 2.25% in 24 hours due to profit-taking after recent airdrop-driven gains, broader market risk aversion, and technical weakness.
Airdrop sell pressure: Post-Jupiter airdrop profit-taking
Market-wide pullback: Altcoins underperformed as BTC dominance rose to 64.46%
Technical breakdown: Price fell below key support at $0.321 pivot point
Deep Dive
1. Primary catalyst
The 5 million WCT airdrop announced for Solana users (Jupiter) on June 13 triggered profit-taking.
Historical patterns show airdrop recipients often sell tokens post-distribution, creating downward pressure.
WCT had rallied 276% from April lows, making short-term holders prone to exit positions after the news-driven spike.
2. Market dynamics
Altcoins faced headwinds as Bitcoin’s dominance rose to 64.46% (+0.42% in 24h), reflecting capital rotation into safer assets.
The CMC Altcoin Season Index fell to 17 (Bitcoin Season), while geopolitical tensions (Middle East escalation) drove a $1B liquidation event across crypto markets on June 13. WCT’s 24h volume-to-market cap ratio of 71% signals high volatility typical of speculative altcoins in risk-off environments.
3. Technical context
RSI 14: 37.58 (approaching oversold but not extreme)
MACD: Negative histogram (-0.0007) confirms bearish momentum
Price: Fell below the $0.321 pivot point and 10-day SMA ($0.348), with next support at the 78.6% Fibonacci retracement ($0.520)
Volume: $41.69M (-25% vs previous day) suggests weakening sell pressure but no strong bid support
Conclusion
WCT’s decline reflects a mix of token-specific profit-taking and broader altcoin weakness, exacerbated by technical breakdowns.
While protocol developments like Solana integration and Smart Sessions could drive long-term utility, traders are watching whether $0.29 (May 2025 low) holds as support.
Will Bitcoin’s dominance continue to drain liquidity from mid-cap alts like WCT?