Worldcoin Eyes 25% Price Pump as Traders Brace for WLD Halving

Key Points

• Worldcoin's WLD token is poised for a potential 25% rally towards $0.81 if it breaks through the $0.65–$0.66 resistance zone.
• The daily unlock rate of WLD is set to decrease by 43% on July 24, improving the token's supply outlook.
• Speculation surrounding an OpenAI IPO is driving interest in WLD as an AI-related asset, despite no direct financial ties.

Technical Analysis

Worldcoin's WLD token is currently trading around $0.64, having rebounded from its 50-period exponential moving average (EMA) near $0.60. This bounce is significant as the 50-4H EMA has provided short-term support during the token's recent consolidation phase. WLD is also trading above its 20-, 50-, 100-, and 200-period EMAs, indicating that buyers maintain control over the intraday trend.

The four-hour chart reveals a bull flag formation, a bullish continuation pattern that typically follows a strong rally. A breakout above the flag's upper trendline near the $0.65–$0.66 area could confirm this bullish setup, with a target price of approximately $0.8155, representing a potential 25% increase from current levels.

Momentum indicators support this outlook, with the four-hour relative strength index (RSI) around 56, suggesting bullish conditions without being overbought. However, a failure to break out or a drop below the flag's lower trendline could weaken the bullish structure, exposing WLD to a deeper pullback towards the 100-period EMA near $0.55.

Supply Dynamics

A significant factor contributing to the bullish sentiment is the upcoming reduction in WLD's daily unlock rate, which is set to decrease by 43% from approximately 5.1 million WLD to about 2.9 million WLD per day. This change is particularly impactful for the World Community allocation, which will see a 50% reduction in its daily unlock rate, from 3.2 million WLD to 1.6 million WLD.

While the lower unlock rate does not remove existing supply from the market, it slows the introduction of new tokens, which can alleviate concerns about future dilution. This improved supply outlook, combined with the technical strength observed in the market, creates a favorable environment for a pre-event rally as traders position themselves ahead of the July supply-rate cut.

Market Sentiment and Speculation

Additionally, WLD is experiencing increased speculative demand due to renewed interest in AI-related cryptocurrencies following OpenAI's confidential S-1 filing, which has reignited IPO speculation. Although Worldcoin has no direct financial connection to OpenAI, traders often view WLD as a proxy for AI exposure linked to Sam Altman, who co-founded Tools for Humanity, the main contributor to Worldcoin. This sensitivity to OpenAI news can further influence WLD's market performance.