Traders are now weighing whether the rally has more room to run or if a pullback could offer better entry points.

Technical Outlook Signals a Shift

For months, WLD was locked in a descending channel, with bears firmly in control. That trend appears to have reversed after a decisive breakout that carried the token nearly 100% higher in a week. According to analyst Ali Martinez, this breakout could be the start of a new bullish phase. His chart suggests a dip toward $1.40 might form a healthy accumulation zone before WLD pushes higher. From there, technical projections highlight upside targets of $2.60, $3.75, and even $5.

The recent surge pushed the Relative Strength Index (RSI) into overbought territory before cooling to around 55, indicating that momentum has reset after the explosive run. Meanwhile, the MACD shows waning momentum, a sign that consolidation or a minor correction could unfold before any continuation to the upside.

Market Position Strengthens

At $1.80, Worldcoin commands a market capitalization of $3.64 billion, with an unlocked market value of $6.86 billion. Its fully diluted valuation (FDV) sits above $18 billion, highlighting the long-term scale of the project. Despite a 50% drop in daily trading volume to $1.97 billion, liquidity remains robust enough to support large moves.

The rally has pushed WLD into the top 40 cryptocurrencies by market cap, a notable achievement considering the bearish trend it faced earlier in the year. With visibility increasing, Worldcoin is now drawing renewed interest from institutional and retail traders alike.

Bullish Targets on the Horizon

Ali’s analysis highlights a clear technical roadmap. The first resistance zone sits around $2.60, marking the 0.5 Fibonacci retracement level. A successful breakout there could pave the way toward $3.75, aligning with the 0.618 Fibonacci mark. If momentum continues, the long-term target at $5 becomes a possibility.

Such moves would not only mark a significant recovery from this year’s lows but also strengthen the bullish case for WLD as a token capable of reclaiming higher valuations.

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Risks Ahead

Despite the optimism, risks remain. The possibility of a retracement to $1.40 cannot be ignored, especially with indicators signaling cooling momentum. A break below this level could reintroduce bearish pressure and stall the rally.

Additionally, broader market conditions may play a role. With traders closely watching the Federal Reserve’s policy direction and macroeconomic data, volatility in risk assets could spill over into cryptocurrencies. WLD’s trajectory may hinge not only on its own technical setup but also on the broader sentiment across the crypto sector.

Outlook

Worldcoin has transitioned from a period of prolonged weakness to an explosive rally that has changed the market narrative. While the road to $5 is not guaranteed, the breakout has given bulls a reason to pay attention. The coming weeks may prove critical: whether WLD consolidates at higher levels or dips to retest support will likely define its medium-term direction.

For now, momentum is back on Worldcoin’s side, and traders are watching closely to see if this move is just the beginning of a larger breakout.

The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.

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