Recently, Worldcoin hit a wall at the $2.15 resistance level, experiencing bearish pressure again, causing investors to start worrying about a potential long-term decline. Whenever buyers attempt to break through this threshold, sellers push the price down, creating a critical battleground.
As Worldcoin struggles to recover, the risk of further declines is also increasing, suggesting that challenges may be encountered in the future.
This article will explore Worldcoin's recent struggles near the $2.1 mark and analyze whether this indicates a trend of long-term decline. By examining technical indicators and market dynamics, we will assess the risks and opportunities facing Worldcoin, providing traders with insights into price trends.
From a technical indicator perspective, WLD may continue to decline. On the 4-hour chart, its price shows negative momentum, trading below the 100-day simple moving average (SMA), and is approaching the support level of $1.27.
If the price continues to fall towards this support level, it indicates increasing selling pressure; if the support level breaks, Worldcoin may face further declines.
Additionally, the 4-hour comprehensive trend oscillation indicator for WLD has issued a bearish signal, with the SMA line crossing below the signal line and nearing the oversold area, indicating that sellers are gaining dominance. As this indicator approaches the oversold zone, selling pressure increases, raising the likelihood of a decline.
On the daily chart, Worldcoin shows strong downward momentum, especially after failing to break through the $2.15 resistance level, forming a bearish candlestick pattern, which further indicates increasing selling pressure and that the asset may continue to decline.
Moreover, WLD is currently facing challenges as it tries to break below the 100-day moving average, which typically indicates that if breached, the market may turn pessimistic. If WLD successfully closes below this level, it may further confirm the market's negative sentiment, leading to more selling and sustained sluggishness.
An in-depth analysis of the daily comprehensive trend oscillation indicator shows that WLD may face continued declines. The signal line has crossed below the SMA line and is trending downwards, moving towards the zero line, indicating a negative momentum shift. If this downward trend continues, Worldcoin may encounter significant difficulties in recovery, leading to prolonged price weakness.
Worldcoin Price Outlook: Will the bears maintain control?
Since Worldcoin was rejected at the $2.15 resistance level, the downside pressure has increased, making the key support area particularly important. If the bears continue to dominate, they may push the price down to the support level of $1.27.
If this level is breached, it may trigger further declines, testing other support levels and exacerbating market pessimism. Conversely, if the support level can hold, it may restore buyer confidence and create opportunities for a price rebound.
