Worldcoin’s WLD Token Surges 37% After $135 Million Funding Round

Worldcoin’s WLD token experienced a significant price surge on Wednesday, climbing 37% in a single day following the Worldcoin Foundation's announcement of a $135 million funding round. The foundation sold liquid WLD tokens at the current market price to two early backers, Andreessen Horowitz and Bain Capital Crypto. This funding round represents a direct purchase of tokens rather than a traditional venture capital investment, with no discounts offered and no lock-up periods applied to the purchased tokens.

The capital raised will be used to accelerate the expansion of the project’s iris-scanning Orb hardware in the United States and to support the growing demand in international markets. The Worldcoin Foundation aims to use these funds to make the network one of the first self-sustaining protocols, positioning itself as a proof-of-personhood solution designed to counter advances in artificial intelligence.

Current network statistics reveal that over 26 million users participate in the World network, with more than 12.5 million people having obtained Orb-verified World IDs through the biometric identity verification process. This significant user base underscores the project's growing adoption and potential for further expansion.

Major investors, including Andreessen Horowitz, have shown continued support for the Worldcoin ecosystem. Andreessen Horowitz was a lead investor in Tools for Humanity during its 2021 Series A round, making it a foundational backer before the World Foundation existed. The participation of such prominent investors at current market prices is seen as a high-conviction signal, especially given WLD’s 90% decline over the past 14 months. The timing of this investment comes after WLD reached significant lows, with the token trading as low as $0.57 earlier this year.

Technical analysis indicates that WLD’s price had been trending upward before Wednesday’s explosive move. The token broke through the $1 psychological resistance level in late April, establishing bullish momentum. 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, retesting demand around the $1 zone.

Technical indicators show the On Balance Volume trending higher over the past two months, suggesting accumulation by buyers. 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 a potential pullback may occur. Traders looking to enter long positions may want to wait for a retracement to the $1.4 level or deeper to $1.32. The weekly chart shows WLD rebounding from $0.57 lows and approaching key moving average resistance levels.