After WLFI's price drops below $1, selling pressure increases. Can a $35 million whale buy order trigger a rebound?

February 24 News: World Liberty Financial (WLFI) has fallen about 8% in the past 24 hours, weakening after breaking below the key $1 level. Previously, WLFI was forming a bullish cup-and-handle pattern, but recent price fluctuations have been mainly driven by leverage liquidations rather than long-term investor selling.

On-chain data shows that WLFI’s largest holder wallet has increased its holdings from 8.23 billion to 8.56 billion tokens since February 19, adding about 330 million tokens, worth approximately $35 million. This indicates that whales have been actively accumulating during the price decline, reflecting confidence in a future recovery. Meanwhile, exchange inflows have dropped from 128 million to just 8.9 million tokens, a nearly 93% decrease, suggesting retail investors are less willing to sell.

From a technical perspective, WLFI’s key resistance is at $0.125. Breaking above this level could confirm the cup-and-handle pattern and potentially push the price toward $0.166. If buying pressure persists, there is even a chance to reach $0.200. On the downside, falling below $0.101 would weaken the pattern, and dropping below $0.095 would completely invalidate the bullish outlook. The Relative Strength Index (RSI) previously showed a hidden bearish divergence, indicating short-term rebounds might be limited, but current market sentiment has recovered from lows, and panic is gradually subsiding.

This decline is related to the Silvergate Bank incident from February 16-18, where after a short-term 32% rally, leveraged longs were liquidated, intensifying the short-term correction. Nonetheless, whale accumulation and reduced retail selling provide support, and the market remains at a critical juncture.

Overall, WLFI’s short-term trend depends on whether buying can rebuild confidence and break through the $0.125 resistance. Success could lead to a technical rebound; if downward pressure continues, breaking below $0.101 or even $0.095 would increase bearish risks. Whale activity and exchange fund flows will be key signals to watch for market recovery and rebound.