-
Worldcoin’s WLD token surges 25% after a $135 million investment, hitting a three-month high at $1.55.
-
Institutional backing by firms like a16z and Bain Capital Crypto signals long-term confidence in the project.
-
Positive momentum and increased trading volume suggest a continued bullish outlook for WLD, with potential for further price gains.
The Sam Altman-linked WLD token is today’s top gainer, trading at $1.53, noting a 25% price uptick over the past 24 hours.
WLD Momentum Turns Positive After $135 Million Injection—Is More Upside Ahead?
On May 21, Worldcoin announced a substantial $135 million capital injection, led by venture firms a16z and Bain Capital Crypto, through the direct purchase of its WLD tokens. This triggered significant buying momentum across the market, propelling WLD’s price to a three-month high of $1.64 by Thursday.
While WLD has since witnessed a minor retracement to trade at $1.53 at press time, bullish sentiment remains firmly intact. Readings from the token’s Awesome Oscillator observed on a daily chart confirm this.
At press time, the momentum indicator is flashing green, with the histogram bar registering a value of 0.195. This marks the second consecutive day of positive momentum after a seven-day streak of red bars.
The Awesome Oscillator compares an asset’s current market momentum to a longer-term momentum, helping to identify potential trend shifts. When it shows green histogram bars and positive values, it indicates that the current momentum is strong and that bullish sentiment is increasing.
This suggests that WLD’s price could continue to rise, presenting a potential buying opportunity for market participants.
Further, WLD’s daily trading volume continues to rocket, indicating that its price surge is backed by actual token demand and not by speculative trading activity. As of this writing, the altcoin’s trading volume is up 159%, exceeding $1 billion.
When an asset’s price and trading volume climb simultaneously, it signals strong market interest and increased demand. This trend suggests that the WLD token price rally is supported by conviction rather than short-term speculation.
WLD’s Breakout Could Lead to January Highs — Unless Profit-Takers Step In
WLD’s double-digit surge has pushed its price above the resistance formed at $1.42, turning it into a support floor. If demand climbs and this price floor strengthens, the altcoin could extend its rally toward $1.95, a high it last reached on January 27.
However, a resurgence in profit-taking activity will invalidate this bullish outlook. If selloffs resume, WLD could lose recent gains and test the support at $1.42. If it fails to hold, it could give way to a further decline to $1.18.
Conclusion
In summary, the recent institutional support and increasing trading volume surrounding Worldcoin’s WLD token suggest a strong bullish trend. However, market participants should remain vigilant for potential profit-taking that could alter this trajectory. Keeping a close eye on the token’s performance around the $1.42 support level will be crucial for determining its near-term prospects.
