Worldcoin (WLD) Faces Selling Pressure from Alameda Research, But Microsoft Acquisition Speculation Offers Hope

Worldcoin (WLD), an AI token, is facing significant selling pressure following the massive liquidations by Alameda Research.

Worldcoin (WLD), an AI token, is facing significant selling pressure following the massive liquidations by Alameda Research. The firm, recognized in the market as a major liquidity provider, has been offloading large volumes of WLD on the Binance platform, causing concern among investors in the token.

According to recent on-chain data analysis, Alameda has been depositing around 143,770 WLD tokens into Binance on a weekly basis over the past few weeks. Commencing on August 9, the company has sold a total of 1.56 million WLD tokens, valued at approximately $2.51 million, in ten separate transactions at an average deposit price of $1.605 per token.

As a result of these substantial sales, the price of WLD has experienced a decline of nearly 1.6% in intraday trading, reaching a value of $1.83 at the time of writing. Over the past 24 hours, the price of the token has fluctuated between $1.77 and $1.89, evidencing extreme volatility in the market. Additionally, trading volume has decreased by 28.2%, hovering around $175 million.

The continuous sales by Alameda Research have generated a negative sentiment, leading investors to question the future of Worldcoin. Moreover, Coinglass data has shown a 10% drop in WLD’s open interest in futures, which now stands at $170.83 million. The volume of derivative trades has also decreased by 31%, falling to $754.13 million, indicating a marked disinterest from investors.

Despite this unfavorable context, some analysts suggest that there is a possibility of a rebound in the price of WLD. Recently, speculation has arisen around a potential acquisition of OpenAI by Microsoft, which could benefit Worldcoin and reactivate its price. However, the situation with Alameda Research also raises other concerns. Currently, the firm holds 23.44 million WLD tokens, valued at approximately $43 million. Liquidating these remaining holdings could prolong downward pressure on the price of WLD, with estimates suggesting that this process could extend over the next three years.

The above is the detailed content of Worldcoin (WLD) Faces Selling Pressure from Alameda Research, But Microsoft Acquisition Speculation Offers Hope. For more information, please follow other related articles on the PHP Chinese website!