In the realm of artificial intelligence cryptocurrencies, Worldcoin (WLD) is currently in a better position compared to last week, showing signs of a potential comeback. This development occurs amidst a sharp decline in the valuation of popular GPU manufacturer Nvidia, whose stock price has fallen into double digits over the past few weeks.
Nvidia and AI Cryptocurrencies
American tech giant Nvidia, a producer of Graphics Processing Units (GPU) and responsible for the continuous development and improvement of AI technology, has seen its stock price drop by 22% over the last six weeks. NVDA’s market value has decreased from approximately $2.37 trillion to about $2.0 trillion.
This sudden downward trend has also reflected on AI-focused cryptocurrencies, experiencing a harsh correction. For instance, the price of Worldcoin fell by 69% between March 10 and April 13. However, recent developments suggest that WLD is ready for a comeback.
Worldcoin Price Strives for Recovery
At the end of December, the price of Worldcoin surpassed the $2.71 barrier, turning this level into a support base before initiating a 454% rally. Recently, when WLD fell by 69%, it retested the $4.22 support base, triggering a small jump with the potential to turn into a recovery rally.
The descending trend line starting from Worldcoin’s all-time high of $11.99 indicates that the downward trend is still robust. The volume profile indicator’s high-volume nodes align perfectly with the next targets for the bulls, the resistance levels at $6.70 and $8.55.
Ideally, the $6.70 resistance level needs to transform into a support base to boost the confidence of pending buyers and encourage more WLD purchases. However, investors should be cautious about the impact of Bitcoin on altcoins, including AI-related tokens. A decline in Bitcoin’s price could lead to WLD dropping to levels seen at the beginning of 2024, potentially falling below $3.70 before any rise.
The Relative Strength Index (RSI) has not yet flipped the average level of 50, which could catalyze a minor pullback for the Worldcoin price, offering patient investors an opportunity to accumulate. The Awesome Oscillator (AO) also indicates that momentum is declining, and flipping the average level of 0 would confirm that bulls are in control of the price.
