Despite a slight dip of 2.38% in the past 24 hours, Worldcoin [WLD] has demonstrated impressive performance throughout the previous month, with a cumulative increase of 27.86% during this period.
The recent upward trend followed by a minor price correction often signifies a phase of market consolidation or retracement, pointing towards a potential continuation of the positive momentum for WLD.
This pattern suggests that WLD is gearing up for a resumption of its bullish trajectory.
Retracement Entering Demand Zone
The recent retracement of WLD has brought it back into a significant demand zone, characterized by a cluster of buy orders, indicating a willingness among market participants to buy at these levels.
Validation of the bullish impact of this demand zone will be apparent when WLD surpasses the current lower high on the 4-hour chart, standing at 2.112.
This achievement could pave the way for WLD to target $2.4 and potentially extend its rally towards $3.0.
On the contrary, trading below this demand zone may pose a threat to WLD’s position, potentially leading to a decline towards 1.511, with further selling pressure possibly pushing it to its lowest point in 2024.
WLD’s Resilience
Based on CryptoCrypto’s analysis utilizing the Chaikin Money Flow (CMF) and the Relative Strength Index (RSI), WLD demonstrates bullish signals that could drive up prices as the market progresses.
The shifting trend of the Chaikin Money Flow, now upward after hitting a historical support trend line, indicates a bullish sentiment with increasing liquidity flowing into WLD tokens.
Similarly, the Relative Strength Index, reflecting market strength and potential direction, aligns with this narrative by bouncing back from a support line and turning upwards, reinforcing the optimistic outlook.
With these encouraging indicators and the robust demand zone supporting WLD, the chances of a continued price surge are high.
Potential Catalyst for Surge
Coinglass reports a negative Exchange NetFlow for WLD in the last 24 hours, and even more prominently over a 7-day period.
These outflows suggest increasing confidence among WLD holders, indicating a positive outlook as they opt to hold onto their tokens off exchanges.
Specifically, withdrawals of $1.97 million were recorded in the past day alone, with a total of $7.71 million pulled out of the market in the last week.
These notable outflows contribute to the mounting anticipation of a potential rally for WLD. If this withdrawal trend persists, further price increases for WLD are highly probable.