Could USELESS coin reclaim $0.37 after 10% drop? Data suggests…

Key Takeaways

USELESS Coin experienced a price drop, forming a lower high and retesting a key support level. Meanwhile, a wallet linked to Hyperliquid swapped its Fartcoin holdings for USELESS, signaling a strategic shift. 

At press time, the memecoin market cap stood at $67.12 billion, reflecting a 1% decline over the past 24 hours. Daily trading volume dropped sharply to $6.43 billion,a 28.48% decrease.

Useless Coin [USELESS] was among the day’s biggest losers, falling over 10%. 

While its price continues to weaken, on-chain indicators suggest there may be more to the story, offering traders a fresh perspective on the recent downturn.

USELESS coin price predictions

USELESS Coin has shown bearish price action on the 3-hour chart. After reaching new highs throughout July, the memecoin experienced a sharp decline once it crossed the $0.40 mark.

The coin closed below the higher low of $0.24, invalidating its previous bullish structure. However, renewed interest followed its listing on Binance and Coinbase, briefly pushing the price up to $0.37. 

Since then, USELESS has been in a steady downtrend.

At the time of writing, the MACD remained bearish, though fading momentum is evident as the indicator lines approach a potential crossover. 

On-Balance Volume (OBV) sat at $360 million, still in negative territory, reflecting weak buying pressure.

That said, price action around the key $0.20 support zone suggested a possible shift. 

The initial touch of this level was met with strong rejection, an early sign that buyers may be stepping in.

Source: TradingView

As per the Fixed Range Volume Profile, the zone attracted the most interest from buyers. Historical repetition of long orders around this zone could reverse the current downturn back to $0.37 and beyond.

Alternatively, failure to hold above the price level could see price of USELESS drop to $0.15 and $0.10.

What could drive a reversal around these levels?

Per on-chain data, institutions and whales were back to betting on the memecoin.

Per Stalkchain data, a wallet linked to Hyperliquid [HYPE] exchange swapped about $460K worth of Fartcoin [FARTCOIN] to USELESS coins.

Their inflows were creating sustained buying pressure as institutional buying hit $56.3 million per Nansen data.

Source: Stalkchain

As for whales, active and new ones were also getting involved. Active whales added about $260K inflows while fresh whales poured $17 million.

The data showed that $2.40 million was pulled off CEXs as top traders and Wintermute stacked more during the dip. However, the involvement of the market maker raised some concerns.

Final take

Moreover, the number of holders for USELESS Coin has been steadily increasing across all timeframes.  Over the past week alone, the holder count rose by 2.63%, bringing the total to 32,453.

This surge in interest has positioned USELESS Coin among the most actively traded memecoins, ranking just behind Official Trump [TRUMP] and Fartcoin. 

Its daily net trading volume reached $44 million, at press time, trailing Fartcoin by only $8 million.

Despite this growing activity, the coin continues to face selling pressure, making its short-term direction uncertain.  That said, early signs of a potential reversal are beginning to emerge. 

However, these signals require further confirmation before any decisive action can be taken.