The token currently trades around $0.94, down nearly 6% in the past week, with analysts warning of a potential move […] The post Worldcoin Faces Regulatory and Technical Pressures as Price Dips Below $1 appeared first on Coindoo.The token currently trades around $0.94, down nearly 6% in the past week, with analysts warning of a potential move […] The post Worldcoin Faces Regulatory and Technical Pressures as Price Dips Below $1 appeared first on Coindoo.

Worldcoin Faces Regulatory and Technical Pressures as Price Dips Below $1

2025/08/19 20:42

The token currently trades around $0.94, down nearly 6% in the past week, with analysts warning of a potential move toward $0.50.

Regulatory Risks Mount in Asia and Beyond

On August 14, China’s Ministry of State Security issued a stern warning against Worldcoin’s iris-scanning practices, classifying them as a national security threat. This follows a July 26 probe launched in Germany over concerns tied to biometric data storage and handling.

The warnings add to Worldcoin’s growing list of regulatory battles. The project has already suspended operations in Brazil, France, and India due to similar controversies. According to August 10 community data, 46% of WLD’s user base is located in Asia, meaning fresh restrictions could significantly slow adoption in one of its most important markets.

Investors are now eyeing an August 19 ruling in Kenya, where a court will decide whether Worldcoin must comply with strict data deletion requirements.

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Bearish Technical Signals

The technical picture for WLD paints a bearish outlook. The token recently failed to hold above the $1.28 resistance level, aligned with the Fibonacci 23.6% retracement. Its price is now trading under all key moving averages, with the 7-day SMA at $1.02 and the 30-day SMA at $1.07.

Momentum indicators also point downward. The MACD histogram sits at -0.006, signaling continued weakness. Analysts warn that a breakdown below the August 17 swing low of $0.913 could accelerate algorithmic selling toward the $0.85 support. Prominent crypto analyst Ali highlighted the risk of a larger breakdown, suggesting a possible slide toward $0.50 if bearish pressure intensifies.

Supply and Speculation

Despite weak fundamentals, speculative interest in WLD remains high. The circulating supply has grown 19% since May 2025 to 1.88 billion tokens, increasing sell pressure. Yet derivatives open interest remains elevated at $290 million, reflecting that traders are still betting on volatility.

The spot-to-perpetuals funding rate spread (+0.0057%) shows positioning remains relatively balanced, hinting at an ongoing tug-of-war between bulls and bears.

Outlook

Worldcoin’s price decline underscores how regulatory headwinds are overshadowing ecosystem developments, such as its integration with Match Group platforms. While its AI-driven identity narrative retains long-term potential, near-term sentiment remains fragile.

Key levels to watch include the $0.91–$0.93 support zone. A rebound could see WLD retest its 200-day EMA at $1.03, but failure to hold could open the door to deeper losses. Beyond technicals, broader cues may come from the U.S. SEC’s Project Crypto initiatives, which could influence how identity-linked tokens are regulated in Western markets.

For now, Worldcoin’s future hinges on whether it can navigate mounting global regulatory challenges while defending critical support zones in a weakening technical structure.


The information provided in this article is for informational 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.

The post Worldcoin Faces Regulatory and Technical Pressures as Price Dips Below $1 appeared first on Coindoo.

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