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- WLFI whale purchased 60.87 million tokens worth approximately $3.55 million.
- Exchange outflows continue reducing available supply and easing selling pressure.
- Technical and derivatives indicators suggest improving sentiment despite the ongoing downtrend.
World Liberty Financial (WLFI) is drawing renewed market attention after a newly identified crypto whale accumulated more than 60 million tokens worth roughly $3.55 million over the last two days. The purchases, sourced from Binance, come at a time when WLFI continues to trade near multi-month lows, raising questions about whether smart money is positioning for a potential recovery.
The large-scale acquisition occurred at an average price of approximately $0.058 per token, close to current market levels. Rather than chasing a breakout, the buyer appears to be accumulating during a period of weakness, a strategy often associated with longer-term conviction.
Whale Activity Signals Growing Confidence
The withdrawal of 60.87 million WLFI from exchange wallets reduced the amount of supply immediately available for sale. While a single transaction does not guarantee a trend reversal, sizable withdrawals from exchanges are frequently viewed as a sign that investors intend to hold rather than sell.
This development is particularly notable because WLFI has remained under pressure for several months. Accumulation during an extended downtrend often attracts attention from traders searching for early signs of market stabilization.
Exchange Outflows Support the Bullish Narrative
Additional on-chain data strengthens the accumulation story. WLFI recently recorded negative exchange netflows, meaning more tokens left exchanges than entered them.
The trend suggests that investors continue moving assets into private wallets instead of preparing them for near-term liquidation. Although the latest outflow figures were not exceptionally large, they aligned with the whale’s accumulation activity and reinforced signs of reduced selling pressure.
If exchange balances continue declining, the available supply for immediate trading could tighten further, potentially supporting price stability.
Technical Indicators Show Improving Conditions
Despite the positive on-chain signals, WLFI remains inside a descending channel that has defined its broader downtrend since February.
The token recently held support near $0.0568 and stabilized around $0.059. The next significant resistance level sits near $0.0758, while $0.10 remains a key psychological target for bulls.
Meanwhile, the Relative Strength Index (RSI) has climbed from oversold territory to around 40, suggesting bearish momentum is weakening. Although RSI remains below neutral levels, the improvement indicates growing buying interest.
Market sentiment in derivatives markets also appears constructive. WLFI’s funding rate has remained positive, showing that traders holding long positions are willing to pay a premium to maintain exposure.
Consistently positive funding rates often reflect expectations of higher prices, though they are not a guarantee of future gains. Traders will likely watch whether positive funding, exchange outflows, and whale accumulation continue to align in the coming weeks.
Also Read: Trump Family’s World Liberty Financial Burns 47 Million Tokens as WLFI Price Plummets
WLFI has yet to confirm a full trend reversal, but several indicators are beginning to shift in favor of buyers. Whale accumulation, declining exchange balances, improving momentum indicators, and positive derivatives sentiment all point toward growing confidence in the asset.
For now, support at $0.0568 remains a critical level to watch. If buyers continue defending that zone and accumulation persists, WLFI could attempt a move toward higher resistance levels and potentially build the foundation for a broader recovery.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
