Key resistance levels cap recovery efforts as volatility persists
World Liberty Financial (WLFI) continues to trade under pressure, with prices holding near $0.1889 after a steep decline earlier this week. The token has dropped over 30% in recent sessions, leaving traders to closely monitor critical resistance and support levels for the next move.
The chart highlights WLFI consolidating just above its local support around $0.18, where buyers have stepped in to prevent further losses. On the upside, sellers remain active at the $0.21 and $0.25 resistance zones, which have consistently capped recovery attempts.
BITX technical analyst noted, “For WLFI to regain bullish momentum, it must decisively clear the $0.21 level. Until then, the prevailing trend remains vulnerable to renewed downside pressure.”
Volume spikes were observed during the sell-off from early September, reflecting intense selling pressure and profit-taking activity. Since then, trading activity has moderated, suggesting that market participants are waiting for a clearer signal before committing to new positions.
According to BITX Market observers “reduced volume during consolidation phases often precedes sharp breakouts. Traders should be prepared for heightened volatility once WLFI approaches either resistance or support boundaries.”
WLFI recently broke out of a falling wedge pattern but failed to sustain gains above its resistance levels, reinforcing bearish sentiment. If support at $0.18 holds, the token may attempt to retest the $0.21–$0.25 resistance band. A breakout above that range would shift momentum back in favor of buyers, potentially targeting $0.30.
However, failure to maintain the $0.18 level could trigger a deeper correction, with downside risks extending toward $0.16.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.