Just days after his venture capital firm Maelstrom published a note calling Worldcoin (WLD) one of the 'cleanest proxies' for an AI mega IPO, co-founder Arthur Hayes has sold his entire position. In a brief but telling message on X, Hayes wrote: 'This chart is going in the wrong direction... Dumped WLD. I'm out. See y'all at the clerb.'

Hayes' sale came as a surprise to many followers, especially given that Maelstrom researcher Lukas Ruppert had on Wednesday described Worldcoin as an overlooked bet on upcoming AI IPOs, predicting the token would hit $5 by August. That note had sparked a short-lived rally, pushing WLD to $0.60 on Friday before it slid back to $0.40 by Sunday, coinciding with Hayes' exit.

Worldcoin, a decentralized identity and financial network co-founded by Sam Altman, has long been touted as a bridge between AI and crypto. The project aims to create a global identity system using iris-scanning technology, with its WLD token serving as both a governance and utility asset. However, regulatory scrutiny in several countries and concerns over privacy have kept its price under pressure. The token is currently trading at around $0.42, down over 90% from its all-time high of $11.74 set in March 2024.

Hayes' Pattern of Rapid Flipping

Hayes' decision to exit WLD is consistent with a broader pattern of rapid reversals on his previously bullish positions. In March, he predicted Hyperliquid (HYPE) would reach $150 by August, only to sell his entire stake on June 4, citing higher energy prices due to the Iran war, inventory restocking, and imminent mega AI IPOs. Three days later, he said HYPE would 'outperform any other current top ten crypto in USD terms from now until year-end.' The contradiction did not go unnoticed.

Similarly, on May 6, Hayes declared that Zcash (ZEC) would reach 10% of Bitcoin's price. Yet on June 5, he offloaded his ZEC holdings after a critical vulnerability was discovered in its privacy protocol, claiming the 'Holy Trinity' of HYPE, ZEC, and NEAR was 'dead.'

Notably, despite his recent sale of HYPE, a wallet linked to Hayes bought back around 33,978 HYPE tokens worth approximately $2 million on Monday, after the token had fallen 26% following his June 4 sale. This suggests that Hayes may be attempting to trade the volatility rather than holding a consistent long-term thesis.

Maelstrom's Role and the AI IPO Hype

Maelstrom, a venture capital firm focused on crypto and AI investments, has been aggressively positioning itself around the upcoming SpaceX IPO, which is expected to be listed on Nasdaq this coming Friday. In a research note earlier in the week, the firm argued that Worldcoin is one of the best ways to gain exposure to AI mega IPOs without directly buying shares of companies like SpaceX or Anthropic.

'Worldcoin is an overlooked AI proxy that could benefit from the massive capital inflows into AI IPOs,' Ruppert wrote. 'We maintain a price target of $5 by August, given the current market dynamics and the token's unique positioning.'

The note briefly sent WLD into a rally, but Hayes' subsequent exit has cast doubt on the firm's commitment to its own thesis. Critics have pointed out that Hayes' sale undercuts Maelstrom's public narrative, potentially damaging its credibility as an investment firm.

Market Reaction and Community Backlash

The crypto community has been quick to react. Many users on X have criticized Hayes for what they perceive as market manipulation or at least a lack of conviction. His earlier claim that he would 'hold WLD through the SpaceX IPO' was contradicted by his sale just days later. Some have accused him of using his large platform to pump tokens before selling.

'Arthur is a master of talking his book,' one user commented. 'He builds a narrative, let's it run, then exits. It works when you have 800k followers.'

Others have defended Hayes, arguing that a venture capital investor must be agile and willing to cut losses when fundamentals change. The discovery of the Zcash vulnerability, for instance, was a legitimate reason to exit. And the WLD chart was indeed heading in the wrong direction from a technical perspective.

From a wider market perspective, the incident highlights the volatile nature of altcoin markets, where influencer statements can drive double-digit moves in minutes. Cointelegraph reached out to Maelstrom for comment but did not receive an immediate response.

What's Next for WLD?

Worldcoin's short-term future remains uncertain. The project recently launched its own Layer-2 network, World Chain, which aims to improve scalability and reduce transaction costs. However, the token's price action continues to be driven more by sentiment and whale activity than fundamentals. The upcoming SpaceX IPO may still provide a catalyst if investors use WLD as a proxy, but Hayes' exit has removed a prominent bull from the table.

Technically, WLD has established support around $0.35, with resistance at $0.60. A break below $0.35 could lead to a retest of the all-time low near $0.20. On the upside, a move above $0.60 would require renewed buying interest, possibly from institutional investors or new retail adoption.

The controversy surrounding Hayes also raises broader questions about the role of influencers in crypto markets. As the industry matures, transparency and consistency may become more valued by investors. For now, the saga serves as a cautionary tale about taking celebrity endorsements at face value.

Source:Cointelegraph News