- A potential ‘Golden Cross’ may be approaching for Worldcoin
- WLD’s RSI is at 65.05, nearing overbought levels – A warning sign for traders
Jacob: Worldcoin anticipates a ‘Golden Cross’; what implications does this have for traders?
In the past 24 hours, Worldcoin [WLD] has experienced impressive price movements, gaining 12.05% to reach $2.43 at the time of writing.
This recent increase has drawn the attention of traders as the altcoin approaches key resistance levels. The manner in which the altcoin responds to these levels could impact its price trajectory both in the short and long term.
An examination of the altcoin’s price movements has indicated bullish signals, alongside potential hurdles that might affect its path over the upcoming week.
Key resistance levels to monitor
Worldcoin’s recent price rise has positioned it near essential resistance levels on the charts.
Source: TradingView
The primary hurdle, identified as R1 ($2.5042), serves as a significant resistance level. Should Worldcoin penetrate this barrier, it may continue its bullish trajectory, with potential targets at R2 ($2.7647) and R3 ($3.1559), where traders might seek to realize profits.
Moreover, the chart indicates a possible “Golden Cross” as the 50-day Moving Average (MA) approaches a crossover with the 200-day MA – a bullish technical indicator.
If Worldcoin climbs above the 50-day MA, currently around $3.13, it could confirm an ongoing upward trend on the charts.
Conversely, a failure to surpass R1 might trigger a short-term pullback or consolidation, hindering the uptrend.
Important support levels to consider for a possible pullback
In the event of a price correction, several key support levels could serve as protective barriers for Worldcoin.
The first critical support level is at S1 ($1.7517), which aligns with a previous consolidation point. A drop to this level could be viewed as a healthy correction before WLD resumes its upward movement. If selling pressure escalates, S2 ($1.4888) would emerge as the next significant support level.
This zone has historically acted as a foundation during prior price fluctuations. Breaking below it could result in a more pronounced downturn.
Lastly, S3 ($1.1808) would indicate a significantly bearish outlook for Worldcoin in the near term.
Momentum and RSI imply caution
Worldcoin’s Relative Strength Index (RSI) is currently at 65.05, just short of overbought territory. This suggests that while there is notable bullish momentum behind Worldcoin, it may tire out soon.
In straightforward terms, the crypto-asset may be approaching a juncture where buying interest starts to dwindle. An RSI reading exceeding 70 would indicate overbought conditions, which could prompt a short-term retracement or consolidation.
– Whether realistic or not, here’s WLD market cap in BTC’s terms
Furthermore, Worldcoin’s price appears to be nearing the upper boundary of its Bollinger Bands – an indicator of increased volatility. Should the price extend beyond this point, traders should be vigilant for signs of a potential retracement.
At the time this was written, Worldcoin seemed to be on an upward trend. However, various indicators pointed to the likelihood of a correction occurring soon.
