An address associated with the Worldcoin project team deposited a cumulative 10.5 million Worldcoin [WLD], worth $4.857 million, into OKX.
Tracing the source of the funds, these tokens were transferred by the project’s team three years ago. Just three days ago, another address linked to the team also transferred WLD tokens worth $1.6 million to exchanges.
Usually, team inflows into exchanges are treated as short-term bearish signals. This is so because they increase the number of tokens available for sale.
While not every deposit is sold immediately, project-linked transfers to exchanges can precede sales.
In this case, if the deposits are sold, especially now that WLD is struggling, they could put significant pressure on WLD.
How is the Worldcoin market now?
Amid these deposits, WLD is under intense downside pressure, dropping to a low of $0.45. Since facing rejection at $0.59, WLD has closed at lower lows for five consecutive days, reflecting a sustained downward trajectory.
Despite the team-linked exchange deposits and the altcoin’s price decline, there has been no sign of panic. Instead, more capital flowed into both perpetual futures and the Spot market, suggesting renewed interest in buying the dip.
Over the past 12 hours, for example, $63 million flowed into opening new Futures positions, compared with $60 million in outflows. As a result, Futures Netflow rose 129% to $3.22 million.
The positive Netflow suggests that more capital flowed into the Futures market than flowed out.
On the Spot market, exchange outflows also increased significantly on the 24th of October as the price continued to drop.
As a result, Spot Netflow fell to -$5.2 million. This trend continued as of press time, with Netflow remaining at around -$0.5 million.
The higher exchange withdrawals may indicate accumulation or an intention to hold WLD.
What’s next for WLD?
Although buyers have stepped in, the market direction still leans bearish. A look at the Relative Strength Index (RSI) confirms the weak momentum.
The indicator has been on a sustained decline, moving deeper into bearish territory.
At 43, the RSI indicates that bearish momentum is prevailing. Such a setup suggests the downtrend may continue.
Currently, Worldcoin is testing the $0.45 support. If prevailing market conditions persist, the altcoin is likely to breach this level and drop to $0.40.
However, if the buying activity witnessed in the Spot and Futures markets is sustained, the altcoin could rebound, reclaim $0.50, and target the $0.56 resistance level.
Final Summary
- The Worldcoin team-linked wallet deposited a cumulative total of 10 million tokens worth $4.8 million into OKX.
- WLD extended its bearish streak, falling to a low of $0.45, as bears eye a drop to $0.40.
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