The price of Worldcoin’s native token, WLD, has been under significant pressure, dropping 10% in the last 24 hours to $5.24. This decline coincides with a surge in daily trading volume, up 80% to a hefty $644 million. This unusual pairing suggests a potential sell-off by major holders, often referred to as “whales.”
Whales Move to Sell, Sparking Concerns
On-chain data analysis by LookonChain reveals a significant movement – a whale transferring 624,479 WLD tokens (valued at $3.33 million) to Binance. This hefty transaction, coupled with the average acquisition price of $5.42, suggests the whale may be incurring a loss of around $50,000. This behavior raises concerns about waning confidence among major investors.
Worldcoin’s ongoing efforts to unlock new coins for wider distribution are contributing to the selling pressure. While this strategy aims to increase adoption, it also creates a larger pool of tokens readily available for sale.
Shifting Goals and Broken Partnerships?
Adding to the bearish sentiment are speculations about Worldcoin deviating from its original vision of a universal basic income project. Popular Bybit trader DeFi^2 highlighted the lack of active involvement from Sam Altman (founder of Worldcoin) and the disconnect from OpenAI, further fueling doubts. Additionally, crypto analyst Alex Kruger publicly stated his belief that WLD is no longer a worthwhile investment.
“Not a coin to hold any longer IMO. The Worldcoin L2 catalyst is already behind. Careful with coins with massive dumping pressure ahread.” Alex Kruger on X
Despite the current gloom, some analysts remain optimistic. World Of Charts, a renowned analyst, pointed out a recent bullish pattern breakout for WLD. The current price movement could be attributed to a retest of support levels. If the token successfully holds this level, a potential surge to $18 in the coming weeks is not out of the question.
Worldcoin Marches On with ID Verification Expansion
Amidst the price turmoil, Worldcoin continues to expand its ID verification services. Residents of Lima, Peru, aged 18 and above can now utilize World ID orbs for online identity verification. This expansion might not immediately impact the token’s price, but it demonstrates the project’s ongoing development.
Also Read: Worldcoin (WLD): From $3 to $8 in a Week, Can it Hit $13 by end of 2024? (Plus Predictions to 2050)
The future of Worldcoin (WLD) remains uncertain. While the recent whale activity and concerns about project direction cast a shadow, a potential price rebound and ongoing service expansion offer a counterpoint. Only time will tell if Worldcoin can weather this storm and regain investor confidence.
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