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Why WLFI risks a 25% drop as the team dumps $1.74M in tokens

3min Read Posted: March 6, 2026 Avatar

By: Chandan Gupta Journalist Edited By: Jacob Thomas Why WLFI risks 25% fall as team dumps $1.74 million tokens

Chandan Gupta Journalist Edited By: Jacob Thomas Posted: March 6, 2026 Share this article

The market structure and recent activity from the Trump‑linked World Liberty Finance team suggest WLFI may be headed for a significant decline. While the broader market has been recovering, WLFI continues to struggle and lose value.

At press time, the overall market was up 4.15% in the past 24 hours, but WLFI fell 3.55% to $0.1032. Despite the drop, trading volume surged more than 85% to $156.75 million, showing strong participation.

Rising volume alongside falling prices indicates that traders and investors remain actively engaged with the token.

Why is WLFI’s price continuing to decline?

Looking at the broader market and WLFI’s price, you might be wondering what is driving the asset’s price lower continuously.

The factor supporting the asset’s downside move appears to be the WLFI team itself. Recently, the crypto transaction tracker Onchain Lens shared a post on X noting that the team dumped a massive 16.71 million WLFI tokens, worth $1.74 million, into OKX.

The transaction tracker further noted that the team is likely to deposit more tokens into centralized exchanges (CEXs), which has added additional bearish pressure on the asset.

World Liberty Finance team dumped 16.71 million WLFI tokens

Source: X/OnchainLens

Apart from the team’s activity, another key factor driving WLFI’s price lower is a statement by U.S. Senator Elizabeth Warren, who slammed the Trump-based WLFI project. She stated that Donald Trump’s crypto company represents “the most disgraceful presidential corruption scandal in history.”

Elizabeth Warren slammed the Trump-backed WLFI

Source: X/blckchaindaily

She further noted that anyone who owns 10% or more of WLFI must disclose their holdings, adding that the bank application would be rejected.

WLFI price action eyes another 25% fall

Besides all this, WLFI’s daily chart shows that the token is at a make-or-break point, as it is hovering near the key support level of $0.097. This support level has held for WLFI since October 2025.

Source: TradingView

Based on the current price and historical performance, if WLFI fails to hold this key support at $0.097, it could drop by over 25% and potentially reach $0.070.

On the other hand, a price reversal is also possible if the price sustains above this level, as it has in the past. If that happens, WLFI could witness a strong upside move.

At press time, the technical indicator Average Directional Index (ADX), which measures trend strength, stands at 15.52—below the key threshold of 25, indicating that the asset currently has weak momentum.

Why traders eye short-leveraged positions

Despite the weak momentum, derivatives data from CoinGlass shows that traders are strongly following the current trend by placing significant bets on the bearish side.

As per the latest data, intraday traders are over-leveraged at $0.101 on the lower side (support) and $0.111 on the upper side (resistance). At these levels, traders have built $1.22 million worth of long-leveraged positions and $5.64 million worth of short-leveraged positions.

Source: CoinGlass

This makes it clear that not only is the price falling, but market sentiment also appears to be bearish, as traders strongly believe that WLFI is unlikely to cross the $0.111 level anytime soon in the coming days.

Final Summary

The team behind World Liberty Finance, linked to U.S. President Donald Trump, has dumped a massive 16.71 million WLFI tokens worth $1.74 million.
Price action suggests the asset is at a make-or-break level, and a further decline could lead to another 25% drop in the coming days.

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Chandan Gupta

Chandan Gupta is is a seasoned crypto analyst with over four years of experience in market research and trading. He specializes in simplifying complex on-chain data to uncover the strategies of crypto whales and major market participants. Alongside on-chain analysis, he breaks down price charts and liquidity movements to deliver clear, actionable insights. More Articles