WLFI Price Drops After USD1 Shock — Can $35 Million In Whale Buying Trigger Recovery?

World Liberty Financial (WLFI) experienced a nearly 8% price drop after its associated stablecoin, USD1, briefly weakened, an event potentially caused by a coordinated attack. This pullback occurred despite WLFI forming a bullish cup-and-handle pattern following a recent Mar-A-Lago event rally. Technical analysis showed a hidden bearish divergence on the RSI preceding the drop. However, the decline appears linked to a leverage flush, evidenced by a sharp drop in open interest and negative funding rates, rather than long-term holder selling. Crucially, large WLFI holders (whales) accumulated approximately $35 million worth of tokens during the price fall, signaling confidence. Furthermore, exchange inflows, indicating selling pressure, have drastically decreased. For a confirmed recovery and breakout above the $0.125 neckline of its pattern, WLFI needs to hold above $0.101, with key resistance at $0.125 and potential targets at $0.166 and $0.200.

(Source：BeInCrypto)