Worldcoin (WLD) Price Retreats 5.4% Despite Strong Bullish Momentum and $250M Investment

Worldcoin (WLD) Price Retreats 5.4% Despite Strong Bullish Momentum and $250M Investment - Blockchain.News

Quick Take

• WLD currently trading at $1.58 (-5.44% in 24h) • Worldcoin's RSI at 64.07 indicates neutral momentum with bullish underlying trend • $250M treasury deal from Eightco Holdings drove 42% surge last week

What's Driving Worldcoin Price Today?

The WLD price has pulled back 5.44% in the past 24 hours, trading within a range of $1.53 to $1.68. This short-term correction comes after an extraordinary week that saw Worldcoin surge over 42%, earning it recognition as "Coin of the Day" among top 200 cryptocurrencies by market cap.

The primary catalyst behind last week's rally was a significant $250 million private placement by Eightco Holdings, which announced plans to acquire WLD as its primary reserve asset. This institutional vote of confidence triggered a 25% initial surge on September 8th, followed by continued momentum that peaked with the 42.39% gain on September 9th.

Additional positive developments include the University of Engineering and Technology in Peru joining Worldcoin's anonymized multi-party computation system, expanding the project's reach and decentralization. These adoption milestones have strengthened the fundamental outlook for WLD despite today's price retreat.

The current pullback appears to be profit-taking following the dramatic gains, with trading volume remaining robust at $117.8 million on Binance spot markets, indicating continued interest from both retail and institutional traders.

WLD Technical Analysis: Strong Bullish Signals Despite Short-Term Correction

Worldcoin technical analysis reveals a compelling bullish picture despite today's decline. The WLD RSI sits at 64.07, placing it in neutral territory but well above oversold levels, suggesting the recent correction hasn't damaged the underlying uptrend.

The moving average structure strongly favors bulls, with WLD price trading above all major moving averages. Worldcoin's current price of $1.58 sits well above the SMA 20 at $1.22, SMA 50 at $1.09, and SMA 200 at $1.01, confirming the strong bullish trend classification.

Worldcoin's MACD indicator shows positive momentum with a reading of 0.1867 above the signal line at 0.1376. The MACD histogram at 0.0490 indicates bullish momentum remains intact for Worldcoin despite the daily decline.

The Bollinger Bands analysis shows WLD trading in the upper portion of the bands, with the current price representing a %B position of 0.7294. This suggests Worldcoin remains in a strong uptrend while approaching overbought territory, which could explain today's consolidation.

Worldcoin's daily ATR of $0.16 indicates moderate volatility, providing opportunities for active traders while maintaining relative stability compared to smaller altcoins.

Worldcoin Price Levels: Key Support and Resistance

Based on Binance spot market data, Worldcoin support levels are well-established below current prices. The immediate Worldcoin support lies at $0.83, which also serves as strong support. This level represents a significant distance from current prices, suggesting substantial downside protection.

WLD resistance faces its first test at $2.21, which serves as both immediate and strong resistance. Breaking above this level would likely trigger the next leg higher toward the 52-week high of $2.33.

The pivot point at $1.60 sits very close to current WLD price levels, making it a critical level to watch. A decisive break below could signal further consolidation, while holding above maintains the bullish bias.

The WLD/USDT pair's 24-hour range of $1.53-$1.68 provides short-term trading boundaries, with the lower end potentially offering entry opportunities for swing traders.

Should You Buy WLD Now? Risk-Reward Analysis

For aggressive traders, the current WLD price presents an interesting opportunity following the pullback from recent highs. The risk-reward profile appears favorable with strong support at $0.83 providing a clear stop-loss level, while resistance at $2.21 offers a nearby profit target.

Conservative investors might wait for a deeper pullback toward the SMA 20 at $1.22 or even the SMA 50 at $1.09 to establish positions with better entry points. The institutional backing from the $250M investment provides fundamental support for longer-term holdings.

Day traders should focus on the $1.53-$1.68 range established in today's trading session. A break below $1.53 could signal further weakness toward $1.40, while reclaiming $1.68 might target a retest of recent highs.

The WLD RSI at 64.07 suggests there's room for further upside before reaching overbought conditions, supporting the case for potential continuation of the bullish trend once the current consolidation completes.

Risk management remains crucial given the 42% surge last week, as such rapid gains often lead to volatile consolidation periods before the next directional move.

Conclusion

WLD price action shows healthy consolidation following exceptional gains driven by institutional investment and adoption milestones. While today's 5.44% decline represents normal profit-taking, the overall technical picture remains strongly bullish with key indicators supporting further upside potential. Traders should monitor the $1.60 pivot level closely, as holding above this level while maintaining the current moving average structure would favor continued bullish momentum toward the $2.21 resistance target in the coming 24-48 hours.

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