Scanning tunneling microscopy of a quasi-one-dimensional (1D) metal-insulator transition in an In nanowire array on the Si(111) surface reveals unprecedented details in the transition dynamics. The transition proceeds in microscopic first order, namely, through the domain-by-domain conversion at the nanoscale, from the metallic to the insulating phase or vice versa. The definition of domains and their effective transition temperatures (Tc) are strongly correlated with the distribution of defects. Below Tc, the condensation and the fluctuation of 1D charge density waves are observed within the isolated metallic domains, as well as at the domain boundaries. The appearance of such isolated condensates suggests a strong intrawire coupling: a manifestation of the 1D nature of the critical fluctuation, as well as the origin of the first-order transition.