WLD Technical Analysis Feb 28

WLD is stuck in a critical contraction zone at $0.39; despite the short-term downtrend, the positive histogram formation in MACD preserves upside potential, while remaining below EMA20 keeps the downside risk alive. Both scenarios can occur depending on market volume and breakouts of critical levels.

Current Market Situation

WLD is trading at $0.39 with a 4.16% drop in the last 24 hours and showing a narrow consolidation in the $0.38-$0.41 range. Volume remains at a moderate $62.10M level, while the overall trend continues downward. RSI at 45.37 is positioned in the neutral zone, and the positive histogram formation in the MACD indicator signals a slight improvement in momentum. However, since the price remains below EMA20 ($0.40), short-term bearish pressure dominates. The Supertrend indicator gives a bearish signal, and the $0.48 resistance stands out as a strong barrier. In multi-timeframe (MTF) analysis, 8 strong levels were identified on 1D, 3D, and 1W charts: supports at $0.3853 (score 79/100) and $0.3617 (68/100), resistances at $0.3929 (82/100) and $0.4460 (63/100). These levels will determine the scenarios.

Scenario 1: Bullish ScenarioHow Does This Scenario Unfold？

For the bullish scenario, the $0.3929 resistance (score 82/100) must first be clearly broken with a close above it. If supported by increased volume, this breakout could gain momentum toward EMA20 ($0.40) and then the $0.4460 resistance. Strengthening of the positive histogram in MACD and RSI moving above 50 provides momentum confirmation. The Supertrend switching from bearish to bullish signals a short-term trend change. Additionally, breaking the upper band of the descending channel on the 1D chart (around $0.41) indicates buyers entering. This scenario becomes more likely if supported by stability or a slight recovery in BTC. After the breakout, pullbacks holding at $0.3929 should be monitored as valid tests that do not invalidate the scenario.

Target Levels

Upon breaking above the first target $0.4460 resistance, the $0.48 Supertrend level comes next, followed by $0.5315 (score 31) as the main target according to Fibonacci extension levels. In the longer term, breaking the descending trendline on the 1W chart could bring $0.60+ levels into play. This move offers a favorable risk/reward ratio (calculated based on current R/R); however, a break below the $0.3853 support invalidates the scenario before targets are reached.

Scenario 2: Bearish ScenarioRisk Factors

The bearish scenario is triggered by a close below the $0.3853 support (score 79/100); if this level breaks, selling pressure increases and accelerates toward $0.3617. Remaining below EMA20 combined with strengthening of the Supertrend bearish signal shifts momentum bearish. RSI dropping below 40 and MACD histogram turning negative provide additional confirmation. An increase in volume on the sell side accelerates the test of the support cluster on the 3D chart. Continuation of BTCs downtrend (e.g., break below $64,329) could trigger amplified downside in altcoins like WLD. In this scenario, rejection from the $0.3929 resistance becomes an entry signal for short positions.

Protection Levels

First protection at $0.3617 (score 68/100); if broken, monitor the $0.30 psychological level and the ultimate bearish target $0.2089 (score 22). A move toward major supports on the 1W chart (around $0.25) is possible. The scenario is invalidated by a breakout above $0.3929; stop-losses should be placed above this level.

Which Scenario to Watch？

Critical triggers: $0.3929 resistance (breakout for bullish), $0.3853 support (breakout for bearish). Volume profile, RSI/MACD divergences, and candlestick patterns (bullish engulfing vs. bearish breakdown) serve as confirmation mechanisms. Daily closes around these levels will be decisive; for example, holding above $0.39 supports upside, while a break below strengthens downside. Follow additional data from WLD Spot Analysis and WLD Futures Analysis pages.

Bitcoin Correlation

BTC is in a downtrend at $65,808 with a 2.71% drop; the Supertrend bearish signal poses risk for altcoins. If BTC cannot hold the $64,329 support (slip to $62,505), amplified downside in WLD ($0.3853 breakout) is expected. Conversely, if BTC breaks above the $65,902 resistance (target $68,166), the WLD bullish scenario ($0.3929 breakout) is supported. Rising BTC dominance could limit altcoin rallies; a break of $60,000 BTC support brings WLD toward bearish targets ($0.2089).

Conclusion and Monitoring Notes

The breakout from WLDs contraction zone will determine direction; both scenarios are equally likely, so traders should focus on risk management. Monitoring points: $0.3929/$0.3853 breakouts, volume surges, RSI 50 crossover, MACD histogram changes. BTC movements will strengthen correlation. This analysis provides tools to form your own decisions; the market is volatile, follow continuous updates.