- At the time of writing, Worldcoin was navigating a critical demand zone, signaling potential for further gains.
- Market sentiment continued to reinforce this bullish outlook, adding multiple factors that support the stability of the demand zone.
Despite a modest retracement of 2.38% in the past 24 hours, Worldcoin [WLD] has shown strong performance over the past month, with a total gain of 27.86% during this period.
It is worth noting that such an upward movement over a longer period of time, followed by a small price correction, usually indicates a market consolidation or retracement phase.
This pattern suggests that WLD is gearing up to resume its upward trajectory.
Retracement in the demand zone
WLD’s recent downward move, or retracement, has put WLD back into an important demand zone.
This zone is typically characterized by a concentration of buy orders, indicating that market participants tend to buy at these levels.
A confirmation of the bullish impact in this demand zone will become apparent once WLD’s price surpasses the current low high on the 4-hour chart at 2,112.
If achieved, WLD would be on track to reach a mid-level target of $2.4, potentially extending the uptrend to $3.0.
Source: TradingView
Conversely, trading below this demand zone would jeopardize WLD’s position, potentially leading to a decline towards 1,511, with additional selling pressure potentially driving the position to a 2024 low.
WLD is unlikely to fall
According to AMBCrypto’s analysis using the Chaikin Money Flow (CMF) and the Relative Strength Index (RSI), WLD is showing bullish signals that could lead to further price increases as the market session progresses.
The Chaikin money flow has changed course and is now trending upwards after reaching a historical supportive trendline. This shift signals bullish market sentiment, with traders funneling more and more liquidity into WLD tokens.
Source: TradingView
Likewise, the Relative Strength Index, which assesses market strength and potential direction, reflects this pattern. The RSI has returned to a support line and turned higher, reinforcing the bullish outlook.
Given these positive indicators and WLD’s position as a key demand zone, there is a good chance that its price will continue to rise.
THIS can cause a potential spike
According to Mint glassExchange NetFlow for WLD has been negative over the past 24 hours and even more so over a 7-day period.
This trend indicates growing confidence among WLD holders, indicating a bullish outlook as they choose to keep their holdings off the exchanges.
Read Worldcoins [WLD] Price forecast 2024–2025
In detail, $1.97 million was pulled from the exchanges on the last day alone, with a total of $7.71 million pulled from the market in the past week.
Source: Coinglass
This significant outflow adds to the growing expectation of a WLD rally. If this trend of pullbacks continues, it is likely that WLD will experience further price increases.