WLD Surges 17% as World App Crosses 1 Million Daily Users

The price of Worldcoin (WLD) jumped by a staggering 17% in the last 24 hours, CoinMarketCap data showed. At press time, WLD’s price was $5.26. But the token had initially attempted to reach $5.50 earlier before it pulled back a little.

Interestingly, this was coming at a time when market prices of most cryptocurrencies declined. However, Coin Edition was able to identify one of the major reasons for the hike. On February 17, Worldcoin, through its official X handle, announced that World App has surpassed 1 million daily users.

For those unfamiliar, World App is the native wallet of the Worldcoin project. It is designed to bring digital identity and global finance to its users. Therefore, the milestone implied that adoption of the project has been incredible while demand for WLD has also soared.

Buyers May Want to Take Profits

From a technical point of view, WLD broke the $4.55 resistance. Indications from the Exponential Moving Average (EMA) showed that the short-term outlook for the token remains a bullish one.

At press time, the 9 EMA (blue) was at $4.83. The 20 EMA (yellow) was at $4.33. A crossover of the 9 EMA over the 20 EMA indicated a bullish bias for WLD. Also, WLD’s price broke past both EMAs, confirming that buyers were in complete control of the direction.

If WLD continues to close above the EMAs, the price might close in on retesting $5.50. However, there is a chance profit-taking might occur within the short term. Should this happen, WLD might close below $4.83. A close below this point might trigger a 10% correction for the cryptocurrency.

WLD/USD 4-Hour Chart (Source: TradingView)

From a bearish perspective, WLD’s price might fall to $4.17. However, if bulls continue with the buying momentum, the price might head toward $6.

WLD’s Open Interest Increases

In terms of Open Interest, Coinglass data showed that the metric increased by 24.61%. At press time, Worldcoin’s Open Interest was $174.84 million. Open Interest is the total amount of open contracts.

When it decreases, it means market participants are closing their net positions. However, an increase in Open Interest implies that buyers are aggressive more than sellers.

If WLD’s price continues to increase alongside the Open Interest, then the price might rise higher. However, if participants increasingly close their positions, WLD’s price might decline.