WLD’s cup-and-handle pattern signals a potential 69% rally, targeting a $7 price zone.
Key resistances at $2.60 and $4.20 must be breached to confirm the bullish breakout.
RSI at 49.93 and MACD bullish crossover hint at growing momentum for a potential price surge.
Worldcoin’s native token, WLD, is flashing a classic cup-and-handle pattern on its weekly chart—a signal widely regarded as a harbinger of bullish momentum. Spanning from June 2024 to January 2025, this technical structure features a well-defined “cup” followed by a compact “handle,” hinting at a possible breakout to the upside.
Historically, the depth of the cup often forecasts the price target of such breakouts. For WLD, the cup’s formation involved a steep 69% drop to a low of $1.28, where the token established strong support. This suggests that a successful breakout could lead to a similar 69% rally, catapulting the token to the $7 zone. However, the path to this ambitious target isn’t without challenges.
The first hurdle lies at the 23.60% Fibonacci retracement level near $2.60, a critical resistance that must be conquered for bullish momentum to strengthen. From there, the token would need to close above the $4.20 resistance, a level that could confirm the handle formation and trigger the anticipated breakout. If achieved, the bullish surge could even fill the Fair Value Gap (FVG) between $7.47 and $8.03.
Yet, caution is warranted. A reversal in market sentiment could drag WLD back to the $1.93 support zone. Worse still, breaching this level might force the token to revisit its September 2023 low of $1.23, a critical defense against further declines.
Technical Indicators Point to Sustained Momentum
WLD’s RSI hovers at 49.93 on the technical front, signaling neutral conditions and ample room for upward movement. Past rallies have seen the RSI peak near 70, suggesting potential for overbought conditions if bullish pressure intensifies.
Meanwhile, the MACD indicator is flashing early signs of bullish momentum. A green histogram and a crossover, where the MACD line at -0.0858 surpassed the signal line at -0.1827, indicating growing buying strength. This convergence aligns with the broader technical setup, reinforcing the case for a sustained rally.
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