Worldcoin Price Drops Amid Regulatory Setbacks in Kenya and Indonesia

Worldcoin (WLD) has experienced a sharp decline as fresh legal hurdles arise in both Kenya and Indonesia. After a strong surge in April, the cryptocurrency has shed 7% in the past 24 hours and over 22% for the week, erasing a significant portion of its recent gains.

Despite the downturn, trading volume for WLD has surged by 64%, signaling heightened investor activity as traders react swiftly to global developments. This increased activity comes as Worldcoin faces intensifying regulatory scrutiny across multiple regions.

Legal Troubles in Kenya and Indonesia

On May 5, Kenya's High Court issued a decisive ruling against the Worldcoin Foundation, ordering the removal of all previously collected biometric data, including iris and facial scans, from its operations in the country. According to Kenyans.co.ke, the court also prohibited the project from gathering any further personal data from Kenyan citizens.

The ruling stems from a legal petition by the Katiba Institute, which raised concerns over the company’s use of crypto tokens to incentivize users to share sensitive biometric information through its app and Orb devices.

Meanwhile, Indonesia has taken similar action. On May 4, the Ministry of Communication announced the suspension of Worldcoin’s World ID program, citing non-compliance with local registration requirements. Authorities have paused certification processes and summoned representatives for further investigation.

Technical Outlook for Worldcoin (WLD)

Currently trading around $0.88, WLD has dropped from its April peak of $1.20. The token is hovering just above a key support level at $0.86, maintaining relative stability despite recent headwinds.

However, Worldcoin's short-term technical indicators reflect weakening momentum. The token has slipped below its 20-day moving average, and the Relative Strength Index (RSI) has cooled to 47, suggesting reduced buying pressure, though not a full bearish trend just yet.

If the price falls below the $0.86 support, the next levels to watch are $0.80 and $0.75. On the flip side, a strong recovery could push WLD back toward the $0.94 resistance zone, but this would likely require improved sentiment and renewed buying interest.

What’s Next for Worldcoin?

The future trajectory of Worldcoin will largely hinge on how the project navigates mounting regulatory challenges in critical markets. While its technology and vision remain compelling to many, legal clarity and compliance will be crucial for regaining investor confidence and sustaining growth.