|
Getting your Trinity Audio player ready...
|
- A wallet linked to Justin Bram moved 14.19 million WLD to Binance, signaling a major loss of whale confidence.
- Worldcoin’s stock-to-flow ratio crashed from 171k to 2.4k, indicating a massive increase in available market supply.
- Technical indicators like the Stochastic RSI and EMA20 suggest a continued bearish trend with a target of $0.35.
The cryptocurrency market is currently navigating a period of uncertainty, and Worldcoin (WLD) is feeling the brunt of this shift. After failing to maintain a foothold above the critical $0.40 psychological level, the asset has entered a precarious downward trend. This slide was punctuated by a significant rejection at $0.43, eventually dragging the price toward $0.38. As technical indicators flash red and large-scale holders begin to pull back, the question for investors is whether this is a temporary dip or the start of a deeper correction.
Whale Capitulation and the $5.7 Million Binance Deposit
On-chain data has revealed a major catalyst behind the recent price weakness: significant selling pressure from a high-profile “whale.” Blockchain analytics firm Arkham recently flagged a wallet linked to Justin Bram, which received 9.37 million WLD (valued at roughly $3.79 million) from the Worldcoin Vesting Wallet.
This inflow was quickly followed by a massive move. The wallet deposited a total of 14.19 million WLD—worth approximately $5.72 million—into Binance. Such a rapid transfer to an exchange is typically viewed as a precursor to a sale. The timing suggests a distinct lack of confidence in the short-term price trajectory, and when large players exit their positions, it often triggers a domino effect among smaller retail investors.
Supply Glut Erodes Scarcity Metrics
The influx of tokens onto exchanges has fundamentally altered Worldcoin’s market structure. Santiment data highlights that the Exchange Flow Balance for WLD surged from -98k to over 14 million tokens on February 17. This spike confirms that the most active participants are looking for an exit rather than holding for the long term.
Perhaps more concerning is the collapse of the stock-to-flow ratio. Within just a week, this scarcity metric plummeted from 171k to a mere 2.4k. This drastic reduction in scarcity implies that the market is now saturated with WLD available for immediate sale, stripping away the supply-side support that often prevents aggressive price drops.
Also Read: Worldcoin Price Forecast 2026–2030: Could WLD Hit $35 by 2030?
Technical Indicators Signal Further Downside
From a technical perspective, Worldcoin’s outlook remains bleak. The asset is currently trading below its 20-day Exponential Moving Average (EMA20), a sign that bearish momentum is in control. Additionally, the Stochastic RSI has completed a bearish crossover, falling from a high of 92 down to 75.
Market analysts suggest that if the current sell-side pressure persists, the price could soon test the $0.35 support level. For a meaningful recovery to take place, Worldcoin would need to reclaim the EMA20 at $0.41 and the EMA50 at $0.46. Until these levels are flipped back to support, the path of least resistance for WLD appears to be downward.
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 your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
