Worldcoin (WLD) Price Hovers On Bearish Path: Can It Cross $2?

Over the last several weeks, the Worldcoin (WLD) price has only registered a downtrend, greatly influencing investors’ moods.

Although there was a spike in the middle of July, the bulls failed to sustain the gains and regressed the gains.

Recently, Alameda has transferred 205,387 WLD tokens worth $352,000. Still, Alameda has held over 24 Million WLD tokens.

Amid the bearish market sentiments, Worldcoin struggled to gain resilience and hovered below the key moving averages. With the ongoing downtrend, bears maintained their grip over the $3 mark and could not permit the bulls to cross the cluster.

Following a bearish breakdown below the $4 mark, the WLD token extended the correction and fell toward the $1.30 mark. It noted a fresh 52-week low this week.

Going forward, the negative cycle in the WLD price trend showed sellers’ dominance, and the token continued to trade under the bearish influence.

Worldcoin (WLD) Price Faces Bearish Pressure

When writing, the Daily Chart of Worldcoin (WLD) represented a consistent downtrend and favored the bear cartel. If the token does not cross the $3 mark, further downturn risk is on the horizon.

The Relative Strength Index (RSI) curve floated in the oversold region. It had a reading of 38, guiding a negative outlook. Similarly, the CMF indicator had a negative value of -0.10, representing a bearish pressure.

@Shelby, in his tweet, @Shelby said that WLD has completed the correction phase and is ready to go upward.

$WLD bullish ? pic.twitter.com/7hR8KLWGBJ

— Shelby (@CryptoNewton) August 9, 2024

When writing, the price of Worldcoin (WLD) was declining, and it traded on a bearish track. The token price could barely hold ground over a constant bearish phase. This was evidenced by the continuation of lower highs and lower lows formation on the chart.

Funding Rates Exhibited a Negative Note

As per the data from CoinGlass, the derivative data conveyed a negative outlook. The funding rate was on a negative note, around -0.040%. It implied that the current situation is handled by, most likely, short sellers, who pay for the privilege of keeping their positions open.

Funding Rate Data Source: Coinglass

It is also clearly seen that long positions cost more than short ones, which proves the bearish sentiment towards WLD.

Futures Open Interest and Development Activity Data Outlook

Despite the significant price correction, the development activity data looked flat around the 47 mark, close to the midline region. It meant the growth in the ecosystem was imminent.

Also, the Open Interest saw a decline of over 2.07% to $125.95 Million. It signified the long unwinding activity in the past 24 hours, which directed a negative sentiment among the investors.

Network Growth Data Remained Negative

Amidst the significant bearish sentiment, the network growth curve saw a sharp dip. It dropped to the bottom, noted around 77, reflecting a negative stance.

Furthermore, the daily active addresses data showed a downtick. It indicated that investors had lost their confidence in WLD and were unwilling to make fresh longs, resulting in a sustained price decline.

If the Worldcoin token price crosses the 20-day EMA mark, it might shift the gains toward the upside of $2. The $2.30 mark would follow this in the short term.

Conversely, if the token faces rejection near $1.90, it may slip toward the $1.50 mark and then to the $1.00 mark.

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