Worldcoin investors recently experienced a notable 20% decrease in value, leading prices to fall below $7. This reduction indicates a potential change in the long-term market trend, prompting a reassessment of investment strategies. Despite the decrease, there is a belief that Worldcoin is currently undervalued. However, it may be more beneficial to avoid immediate purchases, as the current market favors sellers.

Additionally, the short-term bearish sentiment contrasts with the generally bullish market structure of Worldcoin. This discrepancy highlights the need for a thorough analysis of on-chain metrics and futures market data to gain a clearer understanding of the market. Since even Bitcoin is facing challenges in stabilizing, investors should prepare for potential increased volatility and prioritize risk management.

Notably, the development activity of Worldcoin, which had been declining since mid-February, experienced a resurgence after March 16. This resurgence, coupled with a gradual rise in the Mean Dollar Invested Age (MDIA), suggests the possible start of a consolidation phase. Furthermore, the decrease in the 30-day Market Value to Realized Value (MVRV) ratio to levels not seen since January 22 indicates that Worldcoin is undervalued.