$WCT Reaccumulation Setup Within Controlled Compression Phase
$WCT retraced from its euphoric spike to 1.38 and is now coiling around the key $0.38 zone. Price action has stabilized after the shakeout, and current structure suggests potential reaccumulation rather than collapse — offering strategic entry zones for spot accumulation only.
Key Confirmations Supporting Reaccumulation:
Volume Contraction With Defensive Bids
Volume has steadily faded since the May 25th top, but buyers continue to defend dips, particularly around the $0.365–$0.370 area. This is typical of post-parabolic absorption, not distribution.
Mid-Zone Support Still Intact
Despite the heavy selloff, price has not closed below the $0.365–$0.395 zone on the daily chart. Wicks indicate repeated absorption at demand. Price is now hovering just above short-term MAs on the 4H, suggesting momentum reset.
Volatility Compression Signaling Impending Break
MACD is flattening on both the daily and 4H timeframes. Short-term moving averages are curling inward. Bollinger squeeze and narrowing candle bodies suggest energy is building. When the coil tightens this long, breakout probability rises.
$WCT — Controlled Consolidation Within Bull Flag Structure
Price: $0.3815
24h Volume: $51.67M
30D Return: +43.7%
Market Cap (Est.): $185M
Pattern Target: $1.15
Three Confirmations of Ongoing Consolidation (Not Breakdown):
Volume Contraction Volume has decreased progressively over the last 6–9 sessions, consistent with classical bull flag behavior — decline on pullback, not exit liquidity.
Support Retention Price holding above prior breakout zone ($0.35–0.37) with shallow pullbacks; no close below 21EMA on daily.
Low Volatility Compression ATR and Bollinger Band width narrowing. Volatility squeeze indicates imminent expansion — directionally, likely up given prior impulse move.
Market Microstructure:
Order book depth above $0.40 remains thin — breakout could trigger sharp move with limited slippage.
Volume/MCap ratio >27% = active participation, not dormant capital.
Contextual Valuation:
WalletConnect supports over 300M secure sessions, used by 48M+ users.
Yet $WCT still trades sub-$200M — materially undervalued compared to other infra tokens with smaller reach but higher FDV.
The setup isn’t just technical — it’s structural. Everything points to controlled rotation, not distribution.