Following the introduction of Sora, a text-to-video model, Worldcoin (WLD), supported by tech luminary Sam Altman, has experienced a remarkable surge in its market value over the past 48 hours. This development has sparked a surge in buying activity for the altcoin, sending its price beyond its previous peak to establish a new all-time high. Consequently, there has been a significant increase in on-chain activities for WLD, leading to a surge in market excitement.
WLD’s Whale Interest Surges By 3000%
In the past two days, Worldcoin has experienced significant market movements, with nearly $12 million in positions being liquidated. Of this, around $8 million were from short positions being closed out, effectively reducing the strength of the immediate resistance levels. This has sent the price of WLD to a new all-time high of $5.4, as reported by Coinmarketcap.
This price milestone was influenced by a substantial increase in on-chain activity for WLD. Data from IntoTheBlock reveals that the number of large transactions soared from just 2 to 60 in a matter of hours, marking an astonishing 2,900% increase. This rise in large-scale transactions indicates that the recent surge in WLD’s buying pressure was predominantly fueled by the actions of whale investors.
Furthermore, this massive surge has sparked concerns over a possible correction, as signs indicate that WLD’s price may be peaking. Currently, a record 95.88%, or 10,420 addresses, are in profit following the recent price increase.
This upward trend in profitable addresses could tempt a considerable number of holders to cash out their investments while the gains are high. Such a move could lead to a sharp decline in WLD’s price and initiate a new round of selling pressure.
Despite the general market rebound and Bitcoin’s climb above the $52,000 mark, WLD’s volatility has remained comparatively low. This might lead to declining investor confidence in the altcoin, potentially triggering a price correction.
What’s Next For WLD Price?
The recent bullish momentum carried WLD price past the $4.5 resistance barrier on February 17, signaling a continuation of its upward trend. The bulls now eye new ATH as their next milestone; however, bears defend a surge above $5.5. As of writing, WLD price trades at $5.3, surging over 21% from yesterday’s rate.
The rapid surge in recent days has sent the Relative Strength Index (RSI) into overbought territory, hinting that the current rally might be stretching too thin in the near term. This could lead to a slight pullback or a period of consolidation in the coming days. Currently, the RSI level trades at 82.
Should the price find support at $4.7, it would indicate that market sentiment remains positive, with traders seizing the dips as opportunities to buy. Conversely, a decline below $4.7 would suggest a weakening in bullish momentum. In such a scenario, the WLD price might retreat to the 20-day Exponential Moving Average (EMA) at $4.3.
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Shayan Chowdhury
Shayan is a digital nomad and a professional journalist. He delivers high-quality engaging articles to Coinpedia through his in-depth research and analysis.
