Worldcoin is trading at $0.497, and large holders are piling in even as the broader market signals caution. Data shows whales accumulating the token while funding rates remain negative — a setup that often points to bets on a bounce. But the path forward looks rocky: a test of the $0.40 support level is expected within the next two weeks, and a meaningful recovery above $0.55 isn't likely until after that test plays out.
Whale activity in a sour market
On-chain tracking reveals that wallets holding significant amounts of Worldcoin have been steadily adding to their positions over the past several days. This accumulation comes despite negative funding rates, meaning traders betting on lower prices are paying a premium to keep short positions open. It's a pattern that sometimes precedes a short squeeze, but the current price action suggests sellers still have the upper hand for now.
The token has been under pressure for weeks. At $0.497, Worldcoin sits closer to its recent lows than to any breakout zone. The whale buying doesn't appear to be panic buying — it's more methodical, likely from entities that see long-term value or ability to influence price later.
Why the $0.40 level matters
That $0.40 mark isn't arbitrary. It's a psychological round number that also aligns with prior support from earlier this year. If Worldcoin drops to that level, traders expect a reaction — either a sharp rebound or a breakdown that could send the token even lower. The accumulation by whales suggests they're positioning for the former, but the market hasn't shown signs of turning yet.
Technical analysts tracking the token note that momentum indicators are oversold, but that alone doesn't guarantee a reversal. The $0.40 level will likely be the deciding factor in the short term. Until then, any rally attempt above $0.53 or $0.55 seems unlikely to hold.
Negative funding rates and the timeline
Negative funding rates typically indicate that short sellers are dominant and willing to pay to maintain their positions. That's been the case with Worldcoin, and it usually keeps a lid on upward moves. The whale accumulation could eventually flip the calculus, but only if the price doesn't break down first.
The projected two-week window for the $0.40 test gives the market time to decide. If the support holds and whales continue buying, a recovery above $0.55 could follow — but that's not expected until after the support test. If the $0.40 level breaks, the next major support isn't clearly defined, leaving further downside risk.
For now, all eyes are on the price action as the countdown to the $0.40 test begins.
