Worldcoin soars 89%: Is a repeat of February’s rally likely?

WLD

As a seasoned researcher with extensive experience in the cryptocurrency market, I have witnessed numerous price movements and trends over the years. Based on my analysis of Worldcoin [WLD], I hold a cautious and bearish outlook despite the recent 89% price bounce.

As a crypto investor, I’ve witnessed an impressive 89% rebound in Worldcoin (WLD) prices from their recent low at $1.72. This unexpected surge triggered significant short liquidations, catching many traders off guard. Those who had bet on the downtrend were left nursing substantial losses. The potential for further upward momentum due to a short squeeze adds to the intrigue and risk in this market swing.

Early investors and team members will receive access to new developments starting on the 24th of July, which could lead to a large release of tokens entering the market. Can demand keep pace with this increased supply?

Prices have been rebuffed from the $3 zone

Worldcoin soars 89%: Is a repeat of February’s rally likely?

Although WLD experienced a nearly complete bounce-back in value over the last week, it has yet to surpass its previous low of $3.2. The stock ended trading on Wednesday, July 17th, at $2.94, falling short of the significant $3 resistance level.

Moving beyond the $3.2 mark indicates a persistent advancement towards the next noteworthy barrier at $4.5. The Fibonacci retracement levels, specifically at $5.7 and $5.5, could hold significant influence within the ensuing period of approximately one week to two weeks.

As the RSI reading for each day surpassed the 50-mark, signaling robust buying momentum, the CMF remained at a negative 0.06. The trading volume has seen an uptick over the last four days, yet a consistent surge in buying pressure is necessary to initiate a bullish trend reversal.

Considering the pessimistic perspective of the long-term chart and concerns about the robustness of the buying pressure, it seemed plausible for Worldcoin to persist in its decline after hitting resistance at either $3 or $4.5.

Market sentiment began to cool in recent hours

Worldcoin soars 89%: Is a repeat of February’s rally likely?

As a researcher observing the market trends, I’ve noticed that the unexpectedly robust price rebound took many short sellers by surprise over the past few days. This was clear from the surge in short liquidations and the subsequent increase in Open Interest. The sentiment shifted bullishly in the short term, indicating that traders have become more optimistic about the market’s direction.

Over the last 24 hours, the price started to lose ground following the rejection at the $3 mark. This downward trend resulted in a significant number of long positions being liquidated on the 17th, leaving many bullish investors feeling the painful consequences.

Read Worldcoin’s [WLD] Price Prediction 2024-25

The spot CVD has not broken its previous downtrend.

As a researcher studying the cryptocurrency market, I believe there’s a good chance Worldcoin may experience some positive price action this month. However, I anticipate that it will eventually retrace and approach the resistance level around $4.5 once more.

2024-07-18 18:15

Prices have been rebuffed from the $3 zone

Market sentiment began to cool in recent hours

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