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WorldCoin (WLD) Price Could Dip Below $6


The WorldCoin (WLD) price is navigating through a tumultuous phase, highlighted by the 30-day Market Value to Realized Value (MVRV) Ratio plummeting to -14.98%, which might suggest the asset is undervalued.

Despite this, the prevailing market dynamics are prompting holders to consider selling their holdings to mitigate losses.

Analyzing WorldCoin’s Market Sentiments

Currently, WorldCoin is in a challenging situation, as evidenced by the 30-day MVRV Ratio’s significant drop to -14.98%. While such a decrease typically indicates an undervaluation — often forecasting a potential price recovery — the ongoing market trends suggest a different story may unfold.

The recent sharp decline in the MVRV Ratio, coupled with a downturn in investor sentiment, is causing concern. This sentiment is further supported by a drop in daily active addresses to its lowest point since February 17, signaling reduced engagement and confidence among the WLD community.

These developments suggest a precarious position for WLD and a continuation of the current downtrend.

WLD MVRV Ratio 30D.
WLD MVRV Ratio. Source: Santiment

Moreover, the Average Directional Index (ADX) for WorldCoin witnessed a sharp rise from 11.06 on April 1 to 39.4 by April 3, indicating a significant shift in market dynamics.

WLD ADX.
WLD ADX. Source: TradingView

For traders and investors, this signifies that the current downtrend is firmly established and likely to continue, urging caution for those contemplating buying or holding WLD amidst a market inclined towards further declines.

WLD Price Prediction: Further Downside

On March 28, a ‘death cross’ occurred in WorldCoin’s Exponential Moving Averages (EMA). In this bearish indicator, a short-term EMA falls below a long-term EMA, hinting at a potential bear market ahead.

Since this event, WLD’s price has decreased by 18.72%, suggesting the beginning of a possible further decline. The widening gap between the EMA lines indicates an increasing downtrend, indicating rising selling pressure.

Read More: 5 Best Worldcoin (WLD) Wallets in 2024

Given the current market conditions and the possibility of WorldCoin’s operations being halted in more countries, WLD’s price might test the support level at $5.7. A breach below this level could lead to additional losses.

WLD Price Chart
WLD Price Chart. Source: TradingView

However, if the market sees a reversal and an uptrend begins, WLD could aim for a rebound toward the initial resistance at $9.47, offering a glimpse of hope for a recovery.

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In line with the Trust Project guidelines, this price analysis article is for informational purposes only and should not be considered financial or investment advice. BeInCrypto is committed to accurate, unbiased reporting, but market conditions are subject to change without notice. Always conduct your own research and consult with a professional before making any financial decisions. Please note that our Terms and ConditionsPrivacy Policy, and Disclaimers have been updated.


Conclusion

In conclusion, the WorldCoin (WLD) price is currently facing a challenging phase, with the MVRV Ratio dropping to -14.98% and investor sentiment trending downward. This suggests that the asset may be undervalued but that holders are still considering selling to mitigate losses. The ADX for WorldCoin has also surged, indicating a firmly established downtrend that is likely to continue. The occurrence of a ‘death cross’ in the Exponential Moving Averages further supports the potential for a bear market ahead. WLD’s price has already decreased by 18.72% since the ‘death cross,’ and further downside is expected if the support level at $5.7 is breached. However, if a market reversal occurs, WLD could aim for a rebound towards the resistance level at $9.47, offering a glimpse of hope for recovery.

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