Worldcoin (WLD) plunges 25% after Arthur Hayes exits
Worldcoin (WLD) price fell about 28% on June 6 after Arthur Hayes’ firm Maelstrom exited its entire WLD position. The news accelerated a selloff that took WLD from above $0.56 to around $0.40, leaving the token roughly 35% below its recent peak near $0.62.
Traders now watch $0.35 as the key support zone. The article notes prior resistance around $0.35 turned into current support, and a decisive breakdown could expose the next level near $0.23. While momentum is mixed—MACD still bullish and Aroon not fully invalidating the longer-term uptrend—the selloff follows WLD’s failure to hold above a breakout area near $0.53.
Liquidation data highlights risk pockets: clusters around $0.45–$0.48 (potential first resistance) and near $0.59–$0.60 (near recent highs). On the downside, leveraged positions concentrate around $0.38–$0.40, increasing the odds of further volatility if sellers press.
Broader crypto sentiment also turned risk-off. Bitcoin briefly slipped below the $60,000 area, contributing to heavy liquidations in altcoins. Hayes’ exit sequence also included earlier reductions from HYPE, NEAR, and ZEC, citing a shifting macro backdrop and growing uncertainty around AI-linked investments.
Bearish
This is bearish for short-term traders because the WLD selloff is directly tied to a large, disclosed position exit by Arthur Hayes’ ecosystem. When prominent traders exit after defending an AI-linked thesis, it often triggers “signal-following” selling and leverage unwinds, which aligns with the liquidation cluster map cited in the article.
Near-term, the $0.35 support test is decisive. If WLD breaks that level, the path of least resistance typically opens toward the next liquidity/price base (here cited near $0.23). The highlighted concentration of liquidation liquidity above ($0.45–$0.48 and $0.59–$0.60) suggests rebounds may face supply/forced liquidations, limiting upside follow-through.
Over the longer term, MACD/Aroon being not fully invalidated implies WLD could stabilize if macro risk conditions improve. However, the broader market backdrop (BTC sliding below $60k and altcoin liquidations) reduces the probability of a clean reversal quickly—similar to prior “big holder exits + risk-off” episodes where bottoms require time, renewed demand, and reduced liquidation pressure.