Worldcoin Analyst Deniz Karasoy: WLD ‘Squeezed Tight’ in Downtrend

Weekly Decline and Market Context

Worldcoin (WLD) prices slid 14.92% over the past week, according to market data cited in a recent technical analysis by Deniz Karasoy. In the 24-hour period leading up to the publication of the analysis, the token was down 0.2%. Open Interest for Worldcoin declined by 1.4% during the same timeframe, indicating a reduction in leveraged positions on the asset.

Karasoy, a technical analyst and active user on the social media platform X, described the current price action as “squeezed tight.” This assessment highlights a period of consolidation within a broader downtrend, where price movement has narrowed but significant structural levels remain intact. The analyst’s comments underscore the tension between short-term volatility and the persistent downward trajectory of the digital asset.

Long-Term Trend and Resistance Zones

Using a 3-day Worldcoin price chart, Karasoy illustrated that the asset is operating within a long-term downtrend. A descending trendline on the logarithmic scale stretches back to 2024, forming a persistent ceiling for price appreciation. Although Worldcoin has established higher lows since March, the price has not yet breached this multi-year downtrend structure.

The token recently challenged the $0.50 to $0.55 trendline resistance zone but failed to sustain momentum above it. This rejection reinforces the bearish bias on higher timeframes. For a bullish reversal to occur, the asset must not only hold support but also reclaim key resistance levels that have previously acted as supply zones. The inability to break through this specific zone suggests that sellers remain active at these price points.

Short-Term Structure and Key Levels

On the 1-day chart, the swing structure is currently bearish. Analysts are monitoring two primary swing points: $0.356 and $0.619. The internal structure has remained bearish over the past ten days, a condition triggered when Worldcoin fell below the $0.466 level. This breakdown below $0.466 contributed to the current bearish internal structure, signaling a shift in momentum toward the downside.

The Directional Movement Index (DMI) confirms a downtrend in progress on the relevant timeframe. Both the Average Directional Index (ADX) and the negative Directional Indicator (-DI) are above the 20 threshold, a common benchmark used to gauge the strength of a trend. While the Chaikin Money Flow (CMF) indicator is above +0.05, suggesting sizeable capital inflows, and the Accumulation/Distribution (A/D) indicator hovers near September highs, these positive signals have not yet translated into a structural shift. The divergence between these indicators and the price action creates a complex trading environment.

Pivotal Support and Resistance

The $0.355 level has emerged as a pivotal support threshold. A daily session close below $0.355 would flip the internal structure bearishly, potentially opening the door to further downside. Conversely, an ascent back above $0.444 could flip the short-term bias bullishly. This level is critical for traders looking to identify a change in momentum. The proximity of these two levels defines the current trading range for Worldcoin.

On the 4-hour chart, the structure is also bearish. A rally above $0.444 on this timeframe would be required to flip the internal structure bullishly. Volume indicators were neutral at the time of the analysis, and the demand necessary for a bullish short-term bias shift was absent. Analysts noted that buying Worldcoin at these price levels is considered risky due to the prevailing wider market bearish sentiment. The lack of volume support further complicates any potential reversal attempts in the near term.