Worldcoin (WLD) price has failed to enter the Ichimoku Kinko Hyo, indicating strong resistance at $5.

On Friday, the price fell below the 200 EMA and dropped 21% on the single daily chart following this price drop.

Worldcoin Remains Support Despite Ongoing Bearish Trend

This significant price action set the tone for the subsequent bearish trend observed during the analysis period. Moreover, the price has retreated to the important resistance level of $4.45, which has acted as support in the past, corresponding to the 4-hour Ichimoku Base Line Flat.

If the price successfully reclaims the $4.45 level and breaks above it, this could shift the medium-term outlook for WLD to a more positive trajectory. Conversely, a break below $3.69 could push the price down to lower support levels such as $2.55.

Worldcoin Faces Massive Sell-off

Subsequent weeks (June 2 and June 9) saw significant declines, with the price dropping to $4.25 and $3.81, respectively. This suggests persistent selling pressure and a lack of buying support at these levels. On May 12, the number of active addresses was 1,963, indicating high user engagement. However, this metric has steadily declined, falling to 1,267 by June 9.

Between May 12 and June 12, 2024, the price of Worldcoin plunged by 34%. This highlights a period of bearish pressure. The number of active addresses has dropped by about 35.1%, falling back to mid-February 2024 levels.

Strategic Recommendations

Positive Scenario: If the price of Worldcoin manages to reclaim $4.45 and break above this level, this could shift WLD’s medium-term outlook to a more positive trajectory. Such price action could attract new buyers and restore confidence among existing investors, increasing trading volume and leading to positive momentum.

Negative Scenario: Conversely, if the price falls below $3.69, it could push the price lower to lower support levels, such as $2.55. A break below this critical support level could trigger further selling, increasing bearish sentiment and leading to additional downward pressure.

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