- WLD’s price declined by more than 5% in the last 24 hours.
- Most technical indicators hinted at a price uptick in the coming days.
Worldcoin [WLD] witnessed a price correction in the last few hours, which pushed the token towards its support.
However, there is more to the story, and the price decline might not last as WLD was retesting a bull pattern.
Worldcoin turns bearish
The last week wasn’t in investors’ best interest, as the token’s price dropped by over 4%. Things got even worse in the last 24 hours, as the token’s value plummeted by more than 5.5%.
The majority of the decline happened in the last few hours alone.
According to CoinMarketCap, the token was trading at $5.55 with a market capitalization of over $1.17 billion. The bearish price action had a negative impact on the token’s market sentiment.
AMBCrypto’s analysis of Santiment’s data revealed that positive sentiment around the token dropped last week.
Meanwhile, negative sentiment around Worldcoin spiked multiple times, suggesting that investors’ confidence in WLD was dwindling.
Source: Santiment
However, this bearish trend might not last long. World Of Charts, a popular crypto analyst, recently posted a tweet highlighting that WLD broke out of a bull pattern a few days ago.
The current price trend might be because WLD was retesting its support. If the token manages to successfully test the support, then its value might soon shoot up to $18 in the coming weeks.
Is a trend reversal possible?
AMBCrypto then analyzed WLD’s on-chain metrics to see the possibility of the token’s price turning positive again anytime soon. We found that Worldcoin’s trading volume declined throughout the last week.
A drop in price along with a dip in volume often suggested that the bearish trend might be short-lived. However, a few of the other metrics remained bearish, such as the MVRV ratio, which dropped.
Its network growth also dipped, meaning that fewer new addresses were created to transfer the token.
Source: Santiment
AMBCrypto then took a look at WLD’s daily chart to better understand which way the token’s price was headed. As per our analysis, the token’s Chaikin Money Flow (CMF) registered an uptick.
A similar increasing trend was also noted on the Money Flow Index’s (MFI) graph, hinting at a trend reversal.
Read Worldcoin’s [WLD] Price Prediction 2024-25
The token’s price was resting on its 20-day Exponential Moving Average (EMA). It would be crucial for WLD to test that support in order to begin a bull rally.
However, the Relative Strength Index’s (RSI) suggested that WLD might continue to shed value as it went downward.
Source: TradingView
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