The price of Worldcoin (WLD) has increased by 10% in the past 24 hours, making it one of the best performing altcoins in the top 100. The increase in Worldcoin’s price has pushed the value of the Token up to 2.90 USD.
However, according to many indicators, this rally could be just the beginning of a sustained rally that takes WLD higher. Here’s how.
Worldcoin Moves Beyond Bear Market Dominance, Volume Follows
From June 6 to November 21, WLD traded within a descending triangle. The descending triangle is a bearish chart pattern, defined by a downward sloping upper resistance level and a flat lower horizontal line. This formation often indicates a bearish price movement as sellers prevail.
When the price of a cryptocurrency breaks a horizontal support level, it indicates that the downtrend may increase. But so far, Worldcoin has broken that threshold, signaling that the altcoin is on the rise.
If sustained, Worldcoin’s price rally could surpass $3 in the short term. However, to validate that, it is necessary to evaluate the position of other indicators.
One indicator that supports further price increases is WLD’s volume. Volume shows whether the market is actively trading a Token. As it increases, more liquidity is poured into the cryptocurrency.
Conversely, if volume decreases, the cryptocurrency is less liquid. Furthermore, volume can indicate the direction in which price may move. Typically, when volume increases along with price, it means the trend is going up.
However, a decrease in volume as prices rise indicates that the uptrend is weak. Since Worldcoin’s price increase coincided with an increase in volume, it indicates that the value of the altcoin could continue to increase.
WLD Price Forecast: 4 USD, Then Could Increase To 5 USD
On the daily chart, Worldcoin’s price crossed above the 20-period and 5-period Exponential Moving Average (EMA), a technical indicator that measures cryptocurrency trends.
When this indicator goes down and is above the price, the trend is down. Conversely, if the EMAs are below the price and are rising, the trend is up. The last time this happened, the WLD price surpassed $11.
If the pattern coincides with the historical trend, Worldcoin price could rise to $3.92. If buyers maintain the trend, the altcoin could surpass $4 and potentially reach $5.10.
However, if the Token falls below the EMA again, the WLD price forecast may not come true. Instead, it could drop to $2.07.