Unpacking Worldcoin’s price trends amidst Bitcoin season
The OBV was not as hopeful as the WLD price action, forming lower highs and lower lows throughout October.
- Worldcoin has matched Bitcoin’s performance recently.
- The dwindling on-chain activity and distribution could be a warning for investors.
Worldcoin [WLD] saw a 3.5% increase in Open Interest in the futures market, but the price was down by 8.2% in the past week. On-chain metrics showed that activity has slowed down in the past two weeks.
Worldcoin in a distribution phase
From the 9th of September to the 15th of October, Worldcoin saw a steady uptrend in network growth. This metric measures the number of new addresses being created on the network daily, showing increased adoption and demand.
Similarly, the daily active addresses metric was also steadily rising during that period. Things changed around in the second half of October. Both activity metrics fell suddenly and the token price began to stumble.
The transaction volume also decreased but was still above the levels it was in mid-September.
The mean coin age took a dramatic hit on the 15th of October as the token faced rejection from the $2.6 level. The spike in dormant circulation implied a flurry of token movement between addresses.
The mean coin age has not yet recovered, showing that the token was in a distribution phase after the rejection. The negative 30-day MVRV meant that short-term holders were, on average, facing a 10.79% loss.
Worldcoin prospects for a continued uptrend
Since the 10th of October, Bitcoin [BTC] has rallied 19.38% and sits just 2% below its all-time high of $73,737. During this time, WLD was up by 22.35%. Additionally, the bulls have successfully defended key Fibonacci levels at $1.77 and $1.96.
Read Worldcoin’s [WLD] Price Prediction 2024-25
The OBV was not as hopeful as the price action. It has formed lower highs and lower lows throughout October, a sign of waning demand. At the time of writing, the RSI’s reading of 38.6 signaled bearish momentum.
