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- WLD retested $2.55 after Sam Altman announced his return as OpenAI’s CEO.
- The price fell to $2.45 but traders are targeting a new high for the token.
- WLD’s tight trading range needs buying pressure for a bullish breakout.
One hour after OpenAI posted that former CEO Sam Altman had returned to the company, the price of Worldcoin (WLD) quickly ran to $2.55. Last week, Coin Edition reported how the cryptocurrency project co-founded by Altman nosedived after he was ousted by the same firm.
The CEO Returns, WLD Pumps
Altman, in a post on X (formerly Twitter), also confirmed his reinstatement. In the post, the reinstalled CEO claimed that the decision was the best one for him and the team.
i love openai, and everything i’ve done over the past few days has been in service of keeping this team and its mission together. when i decided to join msft on sun evening, it was clear that was the best path for me and the team. with the new board and w satya’s support, i’m…— Sam Altman (@sama) November 22, 2023
However, WLD’s rally appeared to have fizzled out by press time. According to CoinMarketCap, WLD’s price was $2.45, suggesting that the development was a quick “buy the rumor, sell the news” event.
Worldcoin 1-Day Price Performance (Source: CoinMarketCap)
Interestingly, the development came at a time when there was a lot of fear, uncertainty, and doubt (FUD) in the market. This FUD was caused by the controversy around Binance and the details of its settlement with the U.S. Department of Justice.
Traders Eye New Levels
Regardless of the uncertain state of the market, traders seem to be bullish on Worldcoin. According to derivatives information portal Coinglass, the WLD funding rate was in the positive region as of this writing.
Funding rates are periodic payments made between long-positioned and short-positioned traders. When the funding rate is negative, it means shorts are paying longs a funding fee. Hence, negative funding indicates that traders are bearish.
Conversely, a positive funding rate implies that longs are paying shorts, and the average open position is bullish. Since it was the latter with Worldcoin, it means traders expect the token price to increase and possibly hit a new All-Time High (ATH).
WLD OI-Weighted Funding Rate (Source: Coinglass)
From the 4-hour WLD/USD chart, there was strong support at $2.23. Also, a resistance at $2.55 has stopped WLD from approaching the $3 region. The Relative Strength Index (RSI) was 55.47, suggesting a mild buying pressure.
But this buying momentum may not be able to help WLD breakout of a likely consolidation over the next few days. If the RSI reading increases, then WLD may at least inch toward $2.50.
However, if selling pressure takes over, the cryptocurrency might have no other option than to drop below $2.30. Considering the current circumstances that is unlikely to happen.
WLD/USD 4-Hour Chart (Source: TradingView)
Worldcoin’s Money Flow Index (MFI) has also begun to pick up. If the MFI continues to swing in the upward direction, then WLD may hit $2.50. But traders need to watch out for the MFI reading. Should it remain below 50.00, WLD may remain in consolidation.
The post WLD Bounces Back, Eyes New ATH As Altman Reinstated At OpenAI appeared first on Coin Edition.