Worldcoin jumps 60% as Maelstrom predicts $5 target on AI IPO wave

Maelstrom sees Worldcoin's WLD token surging to $5 by August, calling it an overlooked proxy for the AI IPO boom.

Worldcoin's WLD token jumped 62% to $0.52 as Maelstrom set a $5 target tied to the AI IPO wave.

"The AI mega IPOs are coming — and it appears the market has overlooked one of the cleanest proxies," Lukas Ruppert, a researcher at Maelstrom, said.

OpenAI confidentially filed for its IPO on May 22, targeting a $60 billion raise at a valuation of as much as $1 trillion. Anthropic followed with its own confidential filing on June 1 after a $65 billion funding round valued the AI company at $965 billion. SpaceX also filed to raise $75 billion in what would be the largest US IPO ever. WLD, the token behind the digital identity network co-founded by OpenAI CEO Sam Altman, trades at an unlocked market capitalization of about $2 billion — a fraction of those private AI valuations.

Maelstrom pointed to two near-term catalysts: Eightco Holdings, a Nasdaq-listed company that already holds 283 million WLD tokens, has about $144 million in cash that could be used to buy more, and Worldcoin's daily token unlock schedule is set to drop 43% on July 24, reducing selling pressure from about 5.1 million to 2.9 million WLD per day.

Short overhang and supply dynamics

WLD had been in a downtrend since February, with losses accelerating after a $65 million over-the-counter token sale in March. Buyers in that round, with $25 million locked for six months, hedged their exposure by shorting WLD on perpetual futures markets, creating what Ruppert described as a "textbook short overhang."

If Eightco deploys even a portion of its cash balance to buy more WLD, it could trigger a reflexive loop that squeezes short positions and pushes prices higher, Ruppert said. The company already holds about 8.3% of WLD's circulating supply.

WLD remains 96% below its all-time high of $11.74 from March 2024. Spot trading volume reached $1.49 billion during the latest rally, while the token's market value stood near $1.77 billion. Maelstrom's $5 target implies a gain of about 900% from current levels, though the firm acknowledged the call is a market view and not a guaranteed outcome.

Worldcoin has faced regulatory scrutiny in multiple jurisdictions, including France, Portugal, Spain, Hong Kong, Brazil, South Korea and Kenya, over biometric data collection practices. The project has defended its model by pointing to privacy tools and user-side data protections.

This article is for informational purposes only and does not constitute investment advice.