Worldcoin has continued to move WLD tokens.
According to Onchain Lens, the Worldcoin team sent 30 million WLD, worth $8.17 million, to a BitGo Custody wallet.
The wallet now holds 153.65 million WLD worth $41.35 million. AMBCrypto earlier reported that the team dumped 21.17 million Worldcoin [WLD] worth $5.5 million.
The previous sale followed the tokens’ movement to exchanges. Unlike the recent sale, the transfer to the custody wallet does not point to direct selling.
However, the team tends to sell through OTC deals when tokens are moved to such a wallet, which doesn’t rule out the possibility. At the same time, the move could suggest repositioning for long-term holding.
Therefore, the transfer to the custody wallet is not inherently bearish or bullish and often leads to a neutral market reaction.
Worldcoin still faces strong bearish pressure
While the Worldcoin team token transfer does not mean immediate selling, other market participants are aggressively selling.
Looking at exchange activity, sellers have been especially active on Binance. WorldCoin recorded 27 million in Sell Volume compared to 24 million Buy Volume over the past 24 hours.
This selling activity is especially extreme on weekly charts, with sell volume exceeding 890 million.
Additionally, the Exchange Net Highs-Lows indicator has remained positive for more than a month. At press time, this indicator sat around 21, with SMA at 44.
At these levels, this indicator suggests that exchange inflows have outpaced outflows by a significant margin. Increased exchange deposits indicate strong selling activity and are often followed by a weaker market structure.
What’s next for WLD
WLD showed bullish momentum, rising to $0.27, as whale activity returned in the market. Worldcoin whales returned towards the end of April and remained so for ten consecutive days.
However, whales seem to have disappeared again, with the Spot Average Order Size data showing no whale activity in the past 24 hours. This shift in whale activity could be a warning signal for the market.
Regardless, the market’s short-term bullish structure remains intact. In fact, the Relative Strength Index (RSI) remains above 50, showing the momentum still leans bullish despite rising weakness.
With RSI dropping from 55 to 51, it suggests that while sellers have returned, they have yet to retake the market. Thus, the weakness probably arises from whales pulling away from the market.
Likewise, the altcoin remains above the 20-day EMA, indicating short-term upside momentum. These market conditions point to a market at a decision point.
On the upside, WLD is testing the 50-day EMA at $0.28. A successful retest will strengthen the upside, with WLD flipping $0.3.
However, with whales starting to disappear again, the market could see weakness. This is so since their demand has recently boosted WLD.
If the weakness persists, WLD will breach the $0.25 support level and drop back to $0.23.
Final Summary
- WorldCoin Team sent 30 million WLD, worth $8.17 million, to the BitGo Custody wallet, raising holdings to 153.65 million WLD worth $40.3 million.
- WLD is still under intense bearish pressure, and with whales disappearing again, a dip to $0.23 looks inevitable.
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Gladys Makena