Worldcoin (WLD) has seen a significant price surge in the last 24 hours, rising over 40% to peak at $4.5 earlier today. This bullish movement comes as WLD circulation took a major reduction.
Causes Behind the Spike
An X user @0x_PlanT explained, the WLD price jump was “stimulated by a significant reduction in circulation.” With less WLD tokens available, demand has outpaced supply leading to rapid growth.
However, @0x_PlanT warns that this bullish run may be short-lived, stating that “The RSI has reached extreme overbought levels, and long positions can be profit-taking.” This indicates traders may soon start selling off shares to lock in profits.
Peak and Profit-Taking
Echoing a similar warning, ArthurDG17 cautions that the coin’s swift rise to $4.5 represents a peak, saying traders should “take time to strategize your next trades seeing a rush on shorts right now.”
As both posters point out, this flood of shorts suggests the peak may give way to a downhill slide soon. ArthurDG17 advises traders “seeing a rush on shorts” to carefully plan their next move rather than jumping back into a falling market.
Sustainability in Question
While the 40% single-day growth is initially exciting for holders, the sustainability of this bull run remains uncertain. Without continued pressure from reduced circulation, the price may correct back downward once profit-taking kicks in.
For now WLD continues pushing higher, but traders seem wary that this stimulus-fueled surge could be a bubble ready to pop. As short positions pile up expecting a drop, the odds of a lasting upside move appear unlikely.
You may also be interested in:
- Solana On-Chain Metrics Flash Bullish Signals as SOL Network Outpaces Rivals Ethereum and Arbitrum
- Largest Ethereum Whales Go on ‘Buying Spree’ – Here’s How Much ETH They Bought
- The Buzzworthy Presale: Could This New Cryptocurrency Rival Shiba Inu’s Success?
Join and Get 10k Tokens FREE!
Engaging community with games and crypto incentives
Integrated platform with GameFi and NFT functionalities
Simple interface that’s easy for new users to explore crypto gaming