World Liberty Financial (WLFI), a token associated with the Trump family, has lost over 40% of its value since launching on Monday. As of Thursday morning, the token had dropped another 20% in 24 hours, according to Coingecko data.
Meanwhile, this decline came just one day after the platform removed 47 million WLFI tokens from circulation. The burn was aimed at reducing supply to help stabilize price. Still, the market continued to sell, and WLFI failed to recover.
Whale Traders Record Large Losses
Several whale investors have posted large losses on WLFI trades. According to Onchain Lens, wallet 0x432 lost over $1.6 million after closing a 3x leveraged long position. The wallet had previously gained $915,000 on an earlier trade but re-entered with a second long position and was liquidated as the price dropped.
“The moral of the story: never be in FOMO,” wrote Onchain Lens in a Thursday post, referring to the fear of missing out that led to the trade.
Other traders also saw losses. Whale wallet 854RaR bought $2 million worth of WLFI tokens earlier this week and was down more than $650,000 as of Thursday, according to blockchain tracking platform Lookonchain. Another wallet, 0x1527 on Hyperliquid, lost over $2.2 million on a WLFI long. In contrast, wallet 0x92bb gained $1.8 million by shorting the token, profiting from the ongoing price decline.
Support Levels Fail, Bearish Trend Continues
Chart analysis shared by Ali (@ali_charts) confirms that WLFI has broken below a key technical level. The token lost $0.20 as support and now trades beneath that threshold. At the time of the chart, WLFI was trading around $0.182. The current structure shows limited short-term recovery, with the price forming a possible lower range below the broken support.
“World Liberty Financial $WLFI lost $0.20 as support! Now, $0.15 and $0.10 are in play,” Ali noted in a post on X.
These next support levels align with earlier areas of price accumulation. Unless WLFI reclaims $0.20, traders may watch for price reactions near $0.15. A breakdown below that could bring $0.10 into focus as the next zone of interest.
Sentiment Turns Negative Across the Market
Investor sentiment around WLFI has declined in recent days. WLFI is currently the ninth-most-bearish token among the top 100 cryptocurrencies. Around 31.9% of users tracking the token are showing bearish sentiment.
Former kickboxing champion Andrew Tate, who had placed a long bet on WLFI, was liquidated for $67,500 on Tuesday via decentralized exchange Hyperliquid. This loss added to broader concerns among investors and traders who entered the market expecting upside after launch.
Despite large burns and whale interest at launch, WLFI continues to face selling pressure and low confidence in the short term.
