Trump-linked World Liberty Financial has made significant progress over the last few months since its launch. In fact, despite WLFI’s price action being on the lower side lately, its activity has been growing.
It’s in the news today after one of the co-founders, Zak Folkman, revealed an upcoming development for WLFI. During Consensus Hong Kong, Folkman said they will be launching a foreign exchange (FOREX) platform named World Swap.
This exchange will operate within WLFI’s stablecoin project, USDI. While more announcements are anticipated at a Mar-a-Lago event this month, it is clear that liquidity will be introduced on World Liberty Finance.
More activity for USD1 stablecoin
This development bolsters the growth that USD1 has seen since its launch. In only 10 months, USD1 has climbed to be the fifth-largest stablecoin by market cap, according to CoinMarketCap.
WLFI may be on track to challenge established issuers. At the time of writing, Tether’s USDT was still the most capped, with $184.6 billion, while Circle’s USDC followed with $73 billion. Sky Protocol’s (SKY) USDS and Ethena’s USDe followed, respectively.
USD1 seemed to be close to flipping USDe, with only a billion standing in between their caps. Such a development would ask for more USD1, increasing the supply, and in turn, the market cap.
Source: CoinMarketCap
Capitalization is nothing without real usage. However, USD1 activity has seen some real revival.
In fact, the weekly stablecoin transfer volume was $13.42 billion, with an all-time total of $252 billion. This was the same for the transfer count, which was at a new weekly peak of 23.6 million and a cumulative total of 274.3 million.
Source: Token Terminal
Additional data from Token Terminal revealed that asset holders were at a new peak of 598.3k at press time. All these factors suggested that WLFI’s activities were greatly influencing USD1.
Interestingly, their interlinked relationship appeared to be symbiotic. That said, will WLFI now hit the bottom for a reversal?
Will WLFI’s price now hit the bottom?
On the 4-hour chart, the altcoin seemed to be forming a double bottom. The volume gaps and imbalances revealed that there was massive buying at around $0.10. The pattern hinted at a potential bullish reversal.
This decline was supported by a whale buy order worth $10 million USDC. The address reached a total of 47.6 million WLFI at an average price of $0.109.
This data showed whale positioning and liquidity growth, which could impact WLFI prices. Continuation of price action in the press time direction could target levels above $0.11. The uppermost level woudl be $0.19 in the short term.
Source: WLFI/USDT on TradingView
A breakdown below $0.09 might also be possible, something that would render the news less influential.
Finally, social dominance has also been moving to the upside – About 0.40%. This indicated participants might be buying the idea of the FOREX platform, alongside its USD1 operation for World Liberty Finance.
Final Thoughts
- WLFI to launch a FOREX platform within its USD1 stablecoin operations.
- WLFI ‘sprice looked to be forming a double bottom, hinting at a potential reversal.
Source: https://ambcrypto.com/wlfi-to-launch-forex-platform-within-usd1-ecosystem-whats-next/
