WLFI whales and deflation spark 8% rebound – Is $0.24 next?

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Deflationary moves drove WLFI higher, pulling whales back into accumulation.

WLFI whales and deflation spark 8% rebound – Is $0.24 next?

Key Takeaways

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What triggered WLFI’s rebound above $0.20?

Buybacks worth $799K for 3.814 million WLFI and 3.109 million burned reduced supply and restored investor confidence.

What signals point to WLFI’s next move?

Spot Netflow hit -$5.37 million while Futures inflows jumped $17.79 million, showing whales accumulated and traders priced a potential push toward $0.24.

World Liberty Financial [WLFI] held its ground at the $0.20 support and briefly tapped a local high of $0.215. At press time, WLFI traded at $0.208, marking an 8% daily gain.

But what inspired this price uptick?

WLFI token buyback and burn kick off

AMBCrypto observed that the significant factor that drove WLFI’s price uptick was World Liberty Financial’s launch of buybacks and token burns.

After WLFI dropped 41% in September, World Liberty confirmed that holders voted 99.8% in favor of allocating 100% of treasury liquidity fees on token burns and buybacks. 

WLFI announced it burned 3.109 million WLFI from protocol fees on Ethereum [ETH] and BNB Smart Chain [BSC].

In addition, it spent $799,000 across USD1, USD Coin [USDC], and Tether [USDT] to repurchase 3.814 million WLFI at an average price of $0.2093 per token.

WLFI whales and deflation spark 8% rebound – Is $0.24 next?

Source: X

By contrast, on-chain monitors such as Onchain Lens tracked $939,000 spent for 4.486 million WLFI across multiple chains.

Such deflationary moves reduce tokens available for sale and can ease sell pressure. They often spark short-term momentum when applied consistently and at scale.

Spot and Futures flows shift

Interestingly, besides the WLFI team, investors across Spot and Futures markets increased exposure significantly. 

According to CoinGlass, Spot 24-hour inflows reached $76.42 million, while outflows stood higher at $81.79 million, at press time. That left Spot Netflow at -$5.37 million, a signal that more WLFI left exchanges than entered, often read as reduced selling pressure.

WLFI whales and deflation spark 8% rebound – Is $0.24 next?

Source: CoinGlass

On the Futures side, inflows surged to $467.5 million versus $449.7 million in outflows. Net Inflow hit $17.79 million, up 126.9% on the day, showing traders allocated more capital to leveraged positions.

WLFI whales and deflation spark 8% rebound – Is $0.24 next?

Source: CoinGlass

This alignment between Spot outflows and Futures inflows reflected cautious optimism, as buyers absorbed supply while derivatives demand rose.

Whale activity remains supportive

After WLFI corrected six days ago, whales jumped into the market to accumulate the dip. Over this period, whales have purchased 408.6 million WLFI tokens, reflecting strong demand from large players. 

WLFI whales and deflation spark 8% rebound – Is $0.24 next?

Source: Nansen

Atthe time of writing, whale incoming transfers stood at around 4.31 million, compared to 3.01 million in outflows. 

That net positive flow indicated larger players continued to accumulate, reinforcing investor confidence after the token’s sharp September drawdown.

$0.24 or back to $0.18?

WLFI successfully defended $0.20 support after World Liberty Financial started token buybacks and burns, which restored investor confidence.

Therefore, if investor demand holds while token buybacks and burn remain constant, WLFI could make more gains on its price charts. In doing so, WLFI will reclaim $0.218 and target $0.24 resistance.

However, if momentum inspired by the initiative fades away, and the team fails to keep pace, we could see another retrace to $0.18.

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