Worldcoin has traded within a multi-month descending channel, staying below the 20-, 50-, 100-, and 200-day moving averages.
In fact, as of this writing, Worldcoin [WLD] traded at $0.58, after a slight 1.0% rise on the daily charts. Before these minor gains, the altcoin had been on a downward trajectory, dropping 7.2% on weekly charts.
While WLD has faced significant bearish pressure, the Worldcoin team added
Worldcoin team moves $25.6 million worth of WLD
Unexpectedly, the Worldcoin main team’s wallet transferred 44 million WLD tokens, worth $25.6 million.
According to Etherscan, these tokens were moved to two additional team-linked addresses. One address received 24 million WLD tokens, while the second wallet received 20 million tokens.
Source: Etherscan
Historically, tokens from these wallets have often been routed to exchanges through Amber Group wallets.
Therefore, the move suggests potential future outflows, which could cause more stress to the already overwhelmed market.
For example, a month ago, the team moved 40 million tokens, which were then listed on exchanges. As a result, the altcoin’s downward pressure intensified, with the altcoin hitting a low of $0.56.
Such a massive outflow will accelerate the downward momentum, leading to more losses for WLD.
WLD is under intense selling pressure
Besides, holders and investors have capitulated amid a prolonged bearish trend, along with the recent team transfers.
According to CryptoQuant, Spot Taker CVD turned red again after being green for two consecutive days. As such, buyers failed to regain the market.
Source: CryptoQuant
Such a shift indicates seller dominance in the market after totally displacing buyers, a clear sign of aggressive selling.
In fact, Worldcoin saw 10.65 million in Sell Volume, compared to 9.8 million in Buy Volume over the past day. As a result, the altcoin saw a negative Buy Sell Delta of -0.85 million, indicating higher selling activity.
Source: Coinalyze
Historically, increased selling has preceded lower prices, as downward pressure has tended to accelerate.
A sign of further slip?
According to AMBCrypto, Worldcoin has faced intense bearish pressure, with sellers dominating the market.
As a result, the altcoin’s downward momentum has strengthened, with the Stochastic Momentum Index dropping further into the negative zone. At press time, this indicator sat at -37, indicating strong downward momentum.
Source: TradingView
Therefore, the Worldcoin team’s transfers could cause further strain if these tokens end up on exchanges. In such a case, WLD will risk breaching the $0.55 support level and drop to $0.50.
To invalidate this bearish move, WLD needs to reclaim $0.6, which will strengthen the altcoin and target the 20EMA at $0.635.
Final Thoughts
- The Worldcoin team transferred 44 million WLD tokens, valued at $25.6 million.
- Worldcoin is under intense selling pressure, with $0.55 support at risk.
Source: https://ambcrypto.com/worldcoin-team-triggers-panic-after-shifting-25-6-mln-wld-will-0-55-hold/
