Worldcoin's WLD Token Soars 37% After Raising $135M From Andreessen Horowitz and Bain Capital

Worldcoin's WLD token experienced a massive price surge on Wednesday, climbing 37% in a single day after the Worldcoin Foundation announced a $135 million funding round.

Worldcoin’s (WLD) WLD,0.0000WLD token experienced a remarkable price surge on Wednesday, adding 37% in a single day. The stellar move came after the Worldcoin Foundation announced a $135 million funding round.

The foundation sold liquid WLD tokens at the prevailing spot price to two early backers: Andreessen Horowitz, a major venture capital firm, and Bain Capital Crypto, a renowned cryptocurrency investment firm.

This funding initiative signifies a direct purchase of tokens rather than a traditional venture round. No discounts were offered, and no lock-up periods were applied to the purchased tokens.

In the realm of trading activity, WLD's daily trading volume soared by nearly 140% compared to the previous day. The explosive price movement caught many traders off guard despite the bullish trend that had been building over the past month.

The Worldcoin Foundation shared that the capital will be directed toward the rapid expansion of the project’s iris-scanning Orb hardware in the United States. The company also plans to use funds to keep pace with surging demand in international markets.

According to current network statistics, more than 26 million users participate in the World network. Of this vast user base, 12.5 million people have obtained Orb-verified World IDs through the biometric identity verification process.

The foundation described the funding as a crucial step in helping the network become “one of the first self-sustaining protocols.”

The project itself is positioned as a proof-of-personhood solution designed to integrate with the advances of artificial intelligence.

Major Investors Double Down at Market Price

Andreessen Horowitz’s participation continues its early involvement in the Worldcoin ecosystem. The venture capital firm was a lead investor in Tools for Humanity during its 2021 Series A round. This makes it a foundational backer before the World Foundation existed.

As major investors poured $135 million into WLD at the prevailing market price, the transaction sparked interest among market observers.

The purchase is being interpreted as a strong signal of institutional investors’ conviction in WLD’s long-term potential. The timing of this investment comes after WLD reached significant lows earlier this year, with the token trading as low as $0.57 in March.

Technical Analysis Shows Momentum Building

WLD’s price had been showing signs of bullish momentum even before Wednesday’s explosive move. The token broke through the $1 psychological resistance level in late April, establishing an upward trend.

Earlier in May, WLD dipped below $1 in what appeared to be a liquidity hunt before quickly reversing course. A week before the funding announcement, the price tested the $1.07 level, indicating buyers were returning around the $1 zone.

Technical indicators on the daily chart, such as the On Balance Volume, suggest that buyers have been accumulating WLD over the past two months. The indicator shows higher highs and higher lows, a sign of sustained buying pressure.

The Relative Strength Index reached 72 on the daily chart, marking the first entry into overbought territory in nearly two weeks. On the 4-hour timeframe, RSI hit 87, a level not seen in recent weeks.

The rapid 41% rally in under 36 hours has pushed WLD above the $1.4 resistance level. However, the overbought conditions suggest that a potential pullback could occur as RSI shows signs of divergence.

Traders looking to enter long positions may want to wait for a retracement to the $1.4 level or deeper to $1.32, where the 50% Fibonacci retracement lies. The weekly chart shows WLD rebounding from the $0.57 low and approaching key moving average resistance levels.

At press time, WLD was trading at $1.337, slightly above the Fib level at $1.32 and approaching the key resistance area between $1.33 and $1.41.