News author: Crypto Emergency
The token World Liberty Financial (WLFI) faced sharp volatility after the political narrative surrounding Greenland lost relevance. The asset, which previously rose amid discussions about the strategic future of the island, is now under pressure due to a decrease in diplomatic tensions and profit-taking by large holders.
How Trump's political statements have heightened interest in WLFI Interest in WLFI
increased after Donald Trump once again mentioned the idea of acquiring Greenland - an initiative first voiced in 2019. After returning to the White House, this topic was back in the spotlight, which market participants perceived as a potential driver for the growth of Trump-related assets.
The peak of activity occurred in January 2026, when the media reported on the US's intention to gain expanded access to the island. However, later officials clarified: it is not about changing jurisdiction, but about cooperation in the defense sector.
At the World Economic Forum in Davos, Trump announced the creation of a new security structure - essentially confirming that the issue of transferring Greenland is not on the agenda.
Major holders began to take profits After the change in rhetoric, investor behavior changed sharply.
In November 2025, major players accumulated about 300 million WLFI, anticipating an escalation of geopolitical pressure.
In January 2026, after Trump's statement about 'full access' to Greenland, demand for the token surged again.
But after the official rejection of the idea of purchasing the island, a large-scale profit-taking began.
In one day, the volume of WLFI on exchanges increased from 1.71 billion to 1.94 billion tokens - that is, about 230 million WLFI was sold for nearly $37 million. This reflects the disappearance of a key growth driver.
Indicators show a weakening demand
The Money Flow Index (MFI) shows:
• a sharp decline in buying pressure;
• capital outflow from WLFI;
• the market transitioning into a phase of seller dominance.
If the MFI drops below the zero mark, it will confirm the beginning of a prolonged downward trend - especially dangerous for tokens dependent on news triggers.
Technical picture: risks of decline remain
WLFI is trading around $0.164, remaining within an ascending wedge for almost three months - a structure that often precedes a downturn.
Key levels:
• $0.143 - critical support; its breach will update the minimum of 2026;
• $0.1145 - target for decline upon confirmed breach of the wedge (-28%);
• $0.165 - level from which a rebound is possible if the political narrative returns;
• $0.182 - area of renewed interest;
• $0.193 - cancellation of the bearish scenario and a path to $0.200.
The token remains sensitive to Trump's statements, so any new political comments may again change the dynamics.
Conclusion
The rally of WLFI has been closely linked to the geopolitical narrative surrounding Greenland. After Trump confirmed that the issue of transferring the island is not being considered, interest in the token weakened, and major holders began to take profits en masse.
Without new catalysts, WLFI remains under pressure, and the technical picture indicates heightened risks of further decline.
