Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnSquareMore
WLFI price completes a market auction theory rotation, signaling a potential bottom

WLFI price completes a market auction theory rotation, signaling a potential bottom

Crypto.NewsCrypto.News2025/12/16 17:12
By:Crypto.News

WLFI price completes a full auction rotation, retesting the value area low with Fibonacci confluence, suggesting downside exhaustion and a potential market bottom.

Summary
  • WLFI completes a Value Area High to Value Area Low rotation.
  • Support aligns with the 0.618 Fibonacci golden ratio.
  • Reclaiming the Point of Control could open a move toward $0.18.

World Liberty Financial (WLFI) is beginning to show early signs of stabilization following the completion of a full Market Auction Theory rotation. This process often precedes either a price balance or a price reversal.

Recent price action has followed a textbook auction sequence, moving from the loss of the Value Area High to a rotation through the Point of Control and finally into a retest of the Value Area Low.

With this retest occurring at a major technical confluence, the structure suggests that selling pressure may be weakening and a potential bottom could be forming.

WLFI price key technical points

  • WLFI has completed a full auction rotation, moving from the Value Area High to the Value Area Low.
  • The Value Area Low aligns with the 0.618 Fibonacci retracement, reinforcing technical support.
  • A reclaim of the Point of Control would signal strength, opening the door to a move toward $0.18 resistance.
WLFI price completes a market auction theory rotation, signaling a potential bottom  image 0 WLFIUSDT (12H) Source,

From a Market Auction Theory perspective, WLFI’s recent price action has unfolded in a highly structured and methodical way. After losing the Value Area High (VAH), price rotated lower through the trading range toward the Point of Control (POC), the level where the highest volume has traded and where price typically finds balance.

Once the VAH was lost, a test of the Value Area Low (VAL) became increasingly likely, as auction theory suggests that value must be explored fully after acceptance shifts. That test has now occurred, completing the auction rotation from high value to low value.

What makes this retest technically meaningful is its alignment with the 0.618 Fibonacci retracement, often referred to as the golden ratio. This level frequently acts as strong support during corrective phases, particularly when the broader trend remains constructive.

The overlap between the Value Area Low and the 0.618 Fibonacci significantly strengthens the case for downside exhaustion, even as senators push for an inquiry into World Liberty Financial, adding a layer of external scrutiny alongside the technical setup.

As long as WLFI remains above the Value Area Low on a closing basis, price is considered to be trading within accepted value rather than entering a new downside price-discovery phase. This distinction is critical.

Holding above the VAL suggests sellers are losing control and that the market is transitioning toward balance or accumulation.

From a market-structure standpoint, this is a logical area for a reaction higher. Once a full auction rotation is completed, price often seeks to rebalance back toward the Point of Control. A reclaim of the POC would be a key confirmation signal, indicating that buyers are regaining control of the market.

If WLFI successfully reclaims the POC with strong volume, the next upside target comes into focus near the, This area represents a prior structural resistance. It would align with a continuation of the broader higher-low structure on WLFI’s chart.

However, the market remains rotational rather than trending at this stage. Until the POC is decisively reclaimed, the price is likely to remain range-bound. A failure to hold above the Value Area Low would invalidate the bottoming thesis and reopen downside risk.

Volume behavior will be key moving forward. Increasing volume on upside attempts would support the bullish case, while muted volume would suggest ongoing consolidation rather than immediate continuation.

What to expect in the coming price action

As long as WLFI holds above the Value Area Low on a closing basis, the probability of a developing bottom remains elevated. A reclaim of the Point of Control would strengthen the bullish outlook and pave the way toward the $0.18 resistance level. Until then, price is likely to remain rotational within the current value range.

0
0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!
© 2025 Bitget