Top overseas traders said that WLD circulation surged, 10U will be the historical top, WLD plummeted 10%

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Will the AI ​​concept coin hype be extinguished in the short term?

According to Binance data, in the past 4 hours, WLD (Worldcoin), the leader of this round of AI concept coins, fell below 8 US dollars for a short time, and is now quoted at 8.15 US dollars. It has fallen by more than 11% in 24 hours.

Data source: https://www.coinglass.com/zh/currencies/WLD

Coinglass data shows that WLD’s 24-hour contract turnover was approximately US$3.6 billion, down 1.65%. Contract positions were US$339 million, down 12.98%. In addition, WLD’s weighted funding rate fell from a high of 0.09% to a low of 0.01%. This means bulls may be closing their positions and running.

More detailed data shows that 1.63 million long orders and 620,000 short orders were liquidated in 4 hours. The overall liquidation volume is not large, and the losses of longs are greater than those of shorts.

In addition, as the currency price fell, WLD's FUD views once again fermented on social networks, and panic gradually increased.

The most important piece of bearish analysis today came from @DefiSquared, a trader ranked No. 1 on CEX, who tweeted.

WLD FDV exceeds 90 billion US dollars FDV, which is higher than OpenAI's own valuation. This is due to WLD's extremely low circulation and narrative/meme. That could change soon, as most buyers at current prices don't seem to realize the new "hidden" emissions are just starting to increase exponentially. Starting this week, WLD will discharge over 10 million WLDs ($92 million at current prices) over the next two weeks and will continue at a higher rate every two weeks thereafter. Last month alone, the circulating supply increased by 25%, and the increase next month is even greater.

In addition, he also mentioned that the WLD Foundation also has tokens in the unlocked foundation vault, and they can be traded OTC. The Worldcoin co-founder said in a direct quote in August that the purpose of the original market-making agreement was to "prevent prices from skyrocketing to around $10." Therefore, it is possible for the foundation to intervene at the current price to suppress the risk of fluctuations, which will cause the WLD price to enter the top position.

@DefiSquared emphasized that although there are short opportunities in WLD from the data, he still wants to emphasize that the price of such tokens may be pushed to a position higher than generally expected, and may continue to rise even before forming a "permanent top". But given how quickly the current situation is changing, holding WLD is risky.

@DefiSquared has a certain influence in the industry. After his tweet, WLD investors showed obvious panic on social networks.

In response to @DefiSquared's tweet, @WazzCrypto, who is also a crypto KOL, left a message saying that he also felt that WLD must have reached the peak of fanaticism. “There are over 300 people queuing up in every mall in my country waiting to have their eyeballs scanned, they don’t actually know what cryptocurrencies are, they just want free money.”

The consistent behavior of these people is due to the team organization. These promoters obtain low-priced WLD from eye scanners and then profit from the sell-off.

In addition to fundamental analysis, some technical analysts also pointed out that the WLD short pattern has been established and MACD has obvious continuous top and divergence signals. It is easy to trigger short transactions at this stage.

Moreover, technical analysts believe that WLD is currently more cost-effective to short than to long. If WLD enters the short market, the decline will bring considerable profits.

In addition, the market is particularly sensitive to the price fluctuations of WLD, and is worried that even if WLD is trending well, it may be driven down by the market.

In fact, there has been FUD against WLD since its rise from $2 to $10. But WLD can always enter the rising channel again after falling slightly.

Of course, social networks are not entirely the voice of FUD. In response to @DefiSquared’s statement, some investors questioned that he relied on his social influence to FUD at the key position of WLD entering $10 to spread panic and short-sell in advance to short profits. .

There are also many people speaking on social networks who believe that WLD is far from a callback position. On the one hand, WLD is undoubtedly the leader in the AI ​​​​track. In addition, OpenAI may release new models or business progress at any time, which will bring continued popularity and imagination to WLD.

More investors believe that, on the one hand, the market value of WLD is indeed too large. On the other hand, they believe that given the current market sentiment, the market is not over yet.

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Disclaimer: The content above is only the author's opinion which does not represent any position of Followin, and is not intended as, and shall not be understood or construed as, investment advice from Followin.
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