Worldcoin Soars 16%, Reaches 1 Million Users – Is a $1.2 WLD Breakout on the Horizon?

Worldcoin (WLD) has recently achieved significant gains, climbing 16.7% during its latest surge to $0.87, supported by increasing user activity and market demand. The altcoin is experiencing robust on-chain growth, now surpassing 1 million active addresses. With the current momentum, WLD may soon challenge $1, with aspirations toward a $1.2 mark if user engagement continues to rise.

Key Takeaways

Increased on-chain activity and record user growth are driving the rally in Worldcoin (WLD).
If demand and user growth maintain their current pace, WLD could break through $1 and aim for resistance near $1.2.
WLD is trying to break out from a month-long downward trend, finding support at $0.65 and briefly surging to $0.87 before settling around $0.82.
Trading volume for WLD surged 136% to $338 million, showcasing intensified market engagement.

WorldCoin Surges 16%

Growing On-Chain Activity for Worldcoin

Worldcoin has been steadily improving its network usage, attracting more users and increasing on-chain activity since its inception. Recently, the platform reached a key milestone with active addresses climbing to 1 million. According to Token Terminal, this indicates a 170% increase in active users over the last year.

Worldchain active addresses Source: Token Terminal

Between May and November, there has been a notable increase of over 500,000 users, demonstrating robust demand. Furthermore, daily active users on the network have stabilized above 60,000, fluctuating between 60,000 and 90,000. As of now, there are approximately 64,000 daily users, marking a 44.1% rise in the last three months, according to Artemis.

Worldchain daily users Source: Artemis

Typically, a concurrent rise in active addresses and daily users reflects strong on-chain demand and active engagement, which is perceived as a bullish indicator, suggesting increased network adoption and potential price growth.

Market Demand Follows Suit

Alongside the surge in network usage, sentiment in both the spot and futures markets has been increasingly optimistic. After hitting the 1 million user milestone, buyers have returned to the market to accumulate shares. Data from CoinGlass indicates that Worldcoin's Spot Netflow has recently fallen into negative territory, dropping to -$2.18 million from $6 million the previous day.

Worldchain spot Netflow Source: CoinGlass

A negative netflow generally suggests a higher outflow, indicating a pattern of aggressive accumulation among buyers.

Whale Activity Dominates the Futures Market

In the Futures market, whale activity has been notably strong over the past week. Data from CryptoQuant reveals that there have been significant Big Whale Orders consistently for seven days. Typically, a rise in whale orders signifies greater participation from large investors in either buying or selling.

Worldcoin futures average order size Source: CryptoQuant

Interestingly, buyers have dominated the Perpetuals market on Hyperliquid for the past week. According to Nansen data, buyers executed more purchase contracts than sales. For instance, Worldcoin saw 7.77 million in Buy Contracts versus 6.4 million in Sell Contracts recently.

Worldchain buy contracts Source: Nansen

This suggests that these major investors are predominantly accumulating WLD and positioning themselves strategically in anticipation of future market movements.

Are We on the Cusp of a Prolonged Uptrend?

According to AMBCrypto, the rally in Worldcoin is rooted in greater network adoption and actual demand within the spot and futures markets. As a result, the altcoin’s Sequential Pattern Strength has entered a positive range, rising to 2.3 at present, indicating a strengthening demand side.

Wld SAR & SPS Source: TradingView

This upward shift in indicators points to changing market dynamics, where buyers are gaining control. If demand continues to rise alongside user activity, WLD could break the $1 barrier and aim for the parabolic SAR level near $1.2. Conversely, if demand weakens, prices may retreat to support levels around $0.68.