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Founded by Scottish miners in 1891 as West Wallsend Athletic FC, they did not compete during the 1895 and 1896 season due to a miners' strike in the district. The club re-formed at the end of 1896 as the West Wallsend Bluebells FC.

Highlights include the club being selected in 1902 to represent Newcastle against Sydney and winning 4–2. In 1923, the Bluebells played the touring Canadian side and won 3–0.

Over the years, the club has picked up many honours and has produced 21 internationals.

One of the club's darkest hours came at the end of the 1996 season, when the Federation dumped the club from the top division due to lack of facilities, despite featuring in six grand finals in the previous fourteen years.

The club struggled to regain its place in the Northern League. Its only brief appearance in 2001 saw the club finish last for only the third time in its history and be relegated again.

In 2007, the club won the NEW-FM League minor premiership and was promoted back to the Northern NBN State League, where it finished a credible eighth in the 2008 season and was selected in the new eight team NBN State League for 2009–10.

After a five-year stint in the NBN State League, the club was relegated back to the NEW-FM First Division at the end of the 2012 season after finishing last.

After relegation in 2012, the side was nearly disbanded in 2014 when they struggled to sign enough players to form a side. The club has gradually returned to be one of the stronger sides in the First Division Competition in recent years, highlighted by their Grand Final Appearance in 2018.