Worldcoin (WLD) price has jumped 19% following Donald Trump’s announcement of a $500 billion investment in AI infrastructure. This surge has reignited interest in WLD, pushing it closer to a potential golden cross on its EMA lines, a bullish signal for further gains.

If momentum continues, WLD could test key resistance levels at $2.41 and $2.83, with the possibility of surpassing $3.16, a milestone not seen since December 2024. However, caution remains as indicators like BBTrend and Smart Money movements suggest the rally may face challenges in sustaining its strength.

Smart Money Holding WLD Just Reached an All-Time Low

The number of smart wallets holding WLD reached an all-time high of 43 on November 14, collectively holding 183 million WLD. However, this number has been in steady decline, with the current count at an all-time low of 26.

Notably, Multicoin Capital alone holds approximately 94 million WLD, reflecting significant concentration among fewer wallets. This decline in the number of smart wallets suggests a shift in distribution dynamics and potential changes in market behavior surrounding WLD.

Tracking smart money is crucial, as it often belongs to institutional investors or high-net-worth individuals who can significantly influence market trends.

The current all-time low in smart wallet holdings, despite Worldcoin price surge, could indicate reduced confidence among large holders or a reallocation of funds to other AI-related coins such as VIRTUAL, TAO, and RENDER and other ecosystems such as Solana.

WLD BBTrend Shows Positive Momentum

Worldcoin BBTrend is currently at 1.8, marking its highest level in three days. BBTrend, a Bollinger Bands-based indicator, measures trend strength and direction. A rising BBTrend suggests increasing momentum, while higher values typically indicate stronger bullish trends.

Although WLD’s BBTrend is climbing, it remains significantly below last week’s peak of 6.5, reflecting reduced momentum compared to the prior rally.

The current BBTrend at 1.8 signals a positive but subdued trend for Worldcoin. While the price action suggests some recovery, the relatively low BBTrend level compared to last week highlights that the bullish momentum has not fully returned.

This could indicate a cautious market, with WLD needing stronger upward momentum to revisit prior highs or sustain a strong uptrend.

WLD Price Prediction: Can It Rise Above $3 Again?

Worldcoin price has surged nearly 19% in the past 24 hours, driven by excitement around Donald Trump’s $500 billion investment in AI infrastructure, which prominently involves Sam Altman, cofounder of OpenAI and Worldcoin.

This renewed interest has pushed WLD closer to a potential golden cross on its EMA lines, a bullish signal that could propel the price to test resistance at $2.41. If this level is broken, WLD could target $2.83. With continued hype around AI-related coins, it may even test $3.16, surpassing $3 for the first time since December 2024.

However, indicators like Smart Money movements and BBTrend suggest the current rally may lack sustained strength. If momentum wanes, WLD price could retrace to test supports at $2.11 and $2.01.

A break below these levels could lead to a drop as low as $1.83, signaling a sharp reversal despite the recent bullish sentiment.

According to a new report from CryptoQuant, USDC liquidity is at its highest level since February 2023. The report noted that Circle typically mints this many tokens in bearish periods.

USDC’s market cap has also increased by over $9 billion in the past month.

Circle’s USDC Liquidity Keeps Growing

CryptoQuant, a respected blockchain analysis firm, released a brief report today on USDC liquidity. Apparently, Circle minted enough USDC stablecoins to reach its highest level in nearly two years.

The report also claimed that a long-running partnership with a crypto market maker possibly contributed to this minting event:

“It is speculated that this is related to a strategic partnership with Cumberland, a market maker well known in the ETF space. It is unclear whether this liquidity will be deployed immediately or held in reserve. Looking at past [BTC] price patterns, USDC liquidity has typically been injected during periods of price consolidation or decline,” it claimed.

USDC is a popular stablecoin issued by Circle, although its dominance is significantly lower than Tether’s USDT. Still, the report’s assertion that USDC liquidity usually spikes in bearish periods seems odd compared to Circle’s performance.

The firm recently made a major political contribution, and its long-running plan to challenge Tether’s EU market dominance is paying off. In response to Circle’s EU play, Tether also began minting huge amounts of its own stablecoin.

However, this liquidity injection doesn’t quite seem to match USDC’s scenario in a few ways. Instead, the price of Bitcoin might be a better reference point, as it spiked recently.

At the moment, it’s difficult to anticipate what exactly Circle plans to do with this USDC liquidity. The firm’s plan to challenge Tether in Europe has been going well, and it acquired Hashnote Labs yesterday. It also partnered with Aptos to tap into the US TradFi market.

Yet, the firm also carried out substantial layoffs last month. So, Circle’s current financial state is still questionable. The stablecoin issuer is likely reallocating its assets in different avenues to ensure sustainable financial growth under the new regulatory environment – in both the EU and US.

For now, this minting event is one of the clearest windows into Circle’s overall health. Regardless of what it intends to do, this USDC liquidity will give it a broader range of options for the future.

Bitwise, the crypto asset management firm, has submitted an application for a Dogecoin ETF through a Delaware trust. 

This step is limited to registering the trust and still requires a formal filing with the SEC for approval.

Meme Coin ETFs Are Gaining Attention

A surge in ETF filings has emerged since Gary Gensler stepped down as SEC Chair last Friday. Among these filings, meme coin ETFs are capturing significant interest. 

Rex Shares recently submitted applications for ETFs involving TRUMP, BONK, and DOGE, alongside Bitcoin and Ethereum ETFs.

Earlier today, BONK saw a price surge driven by increased investor interest following Rex Shares’ ETF filing. The rising demand for BONK signals the possibility of sustained price momentum. Dogecoin could witness similar price action if its ETF application gains approval.

Back in September 2024, Bitwise’s Matt Hougan expressed optimism about ETF opportunities for Solana and meme coins.

Growing Institutional Interest in Meme Coins

Interest in meme coins has grown significantly in recent days. The launch of the TRUMP meme coin by the US President has played a major role in this trend. 

Reports show that 40% of TRUMP coin buyers were first-time crypto investors, highlighting the appeal of meme coins beyond the crypto sector. This could explain why firms like Bitwise are moving quickly to develop an ETF for Dogecoin, a leading meme coin.

Meme coins are also entering institutional markets outside the US. Floki also plans to launch an exchange-traded product (ETP) in Europe by early 2025. 

Meanwhile, analysts believe Litecoin could become the first altcoin after Ethereum to secure ETF approval. Nasdaq has already filed Form 19b-4 to list Canary Capital’s proposed Litecoin ETF.  This filing aligns with Canary’s recent S-1 amendment and feedback from the SEC.

Overall, with Bitwise’s latest filing, it’s evident that asset managers are looking to bring meme coins to the retail investment markets soon.