Worldcoin (WLD) recently experienced a notable double-digit price increase. Despite this rise, futures traders remain skeptical about the price movement.
The recent token unlock did not significantly impact the price, indicating that market sentiment continues to be cautious.
Worldcoin (WLD) Unlock Timeline Extended Amid Market Fluctuations
The team behind Worldcoin (WLD), Tools for Humanity (TFH), has announced a major revision to the token’s unlock schedule. Originally planned to span over three years, the new timeline will extend to five years, starting from July 24, 2024.
This adjustment means that 80% of the tokens held by team members and investors will be gradually unlocked over four years, concluding by the end of July 2028. The primary goal of this extension is to manage market supply and stabilize WLD’s price, avoiding market saturation from a sudden influx of tokens.
Following the announcement, Worldcoin’s market performance has been volatile. Initially, the token experienced a downward trend that lasted over a week. On July 24, the day of the unlock event, WLD saw a modest 1.32% increase, with the price moving from $2.10 to $2.20.
However, this gain was short-lived as the price dropped by more than 4% the following day, returning to $2.10. A significant positive shift occurred on July 26, with the price surging by 11.74% to reach $2.30. The upward trend continued, with the price touching around $2.40, although overall market sentiment remains cautious.
Worldcoin (WLD) Faces Technical Resistance and Bearish Sentiment
Ongoing technical analysis of Worldcoin (WLD) reveals that the short-term moving average, represented by the yellow line, is currently acting as immediate resistance between $2.70 and $3.00. For WLD to establish a significant bullish trend, it needs to break through these resistance levels. The Relative Strength Index (RSI) remains around the neutral zone, indicating that while WLD is inching toward bullish territory, this outcome is not assured and relies on continued positive price movement.
Trading metrics from platforms like Coinglass show persistent bearish sentiment among traders. The current long/short ratio reveals a higher number of short positions compared to long ones, suggesting that traders are betting on a price decline. Additionally, the funding rate for WLD is below zero, indicating that short sellers are paying to maintain their positions, which typically points to expectations of further price drops and reflects ongoing market skepticism.
In summary, Worldcoin’s market outlook is complex and mixed. Despite recent token unlocks and price increases suggesting an optimistic trend, the prevailing technical resistance and bearish sentiment among traders warrant caution. Investors should carefully monitor these factors to navigate WLD’s future performance effectively.
⚠️Disclaimer
This content aims to enrich readers with information. Always conduct independent research and use discretionary funds before investing. All buying, selling, and crypto asset investment activities are the responsibility of the reader.
