LQTY Dropped 5689.75% in 1 Year Amid Sharp Downtrend
- LQTY plummeted 5689.75% in 1 year, with 615.2% 24-hour drop and 1962.81% monthly decline. - Analysts warn of fundamental model re-evaluation as technical indicators confirm extended bear market. - Price failed to hold key support levels, with bearish moving averages and no recovery signals. - Proposed backtesting strategy tests 10% daily drop triggers from 2022-2025 to assess recovery potential.
On AUG 29 2025, LQTY dropped by 615.2% within 24 hours to reach $0.866, LQTY dropped by 1422.27% within 7 days, dropped by 1962.81% within 1 month, and dropped by 5689.75% within 1 year.
The asset has experienced a sharp and sustained decline across multiple timeframes, with the most severe drop occurring over the last 365 days. The 24-hour drop of 615.2% highlights an acute price collapse, while the 7-day and 1-month declines further underline the depth of the bearish trend. Analysts project that such a performance would typically trigger re-evaluations of fundamental models and risk management strategies, particularly among long-term holders and institutional investors.
The recent behavior of LQTY suggests a deepening technical bear market. Price levels have not found support at key historical thresholds, and the absence of significant buying pressure implies a lack of confidence in near-term recovery. The absence of stabilizing patterns in the daily close suggests that the market is either in a liquidity crunch or experiencing a structural shift in sentiment.
Technical analysis of LQTY reveals a continuation pattern consistent with an extended downtrend. Moving averages across all major timeframes are bearish, with the 200-day moving average well below current price levels. The asset has failed to close above any prior resistance levels, suggesting a breakdown in key support structures and a lack of buyers willing to absorb the falling price. This dynamic has created a negative feedback loop where falling prices are met with further selling pressure.
Backtest Hypothesis
Given the recent sharp drop and the sustained bearish momentum, a backtesting strategy may help evaluate potential recovery scenarios. A proposed rule-based approach would look to identify and act on sharp intraday declines as possible entry points. Specifically, the trigger condition is defined as a daily close that is at least 10% lower than the previous day's close. A long position would be initiated at the next day’s open following the trigger. Exit rules could include a fixed holding period of five trading days, a recovery to the prior close, or a custom rule based on trailing stops.
This strategy would be tested over a period from January 1, 2022, to August 29, 2025, encompassing the full range of the bearish trend. Optional risk controls such as stop-loss or take-profit levels could be applied to manage exposure. The aim is to determine whether the identified sharp pullbacks can serve as reliable signals for recovery or further bearish continuation.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
WBETH +38.83% in 24 Hours Amid Strong Long-Term Gains
- WBETH surged 38.83% in 24 hours to $4,910.30, with 1861.79% monthly and 3353.31% annual gains despite recent 1.74% weekly dip. - Technical indicators show overbought RSI and bullish MACD crossover, with price above 200-day moving average support. - Analysts note strong liquidity and adoption momentum but caution near-term volatility amid strategic market developments.

2025 Crypto Market Divergence: Meme Coins vs. Utility-Driven Projects
- 2025 crypto market splits between speculative meme coins (e.g., SHIB) and utility-driven projects (e.g., LBRETT, RTX) with real-world infrastructure. - Shiba Inu faces volatility, weak tokenomics (98% lower burn rates), and macro risks, contrasting with LBRETT's 10k TPS scalability and 55k% staking APY. - Remittix (RTX) gains traction via cross-border payments, fiat-crypto integration, and 10% transaction burns, raising $20.8M in presales. - Investor sentiment shifts toward projects with defensible use c

Institutional Confidence in Solana: A Strategic Deep Dive into DeFi Development Corp.’s Aggressive Accumulation Strategy
- DeFi Development Corp. (DFDV) purchased 407,247 SOL ($77M) in August 2025, boosting its holdings to 1.83M SOL ($371M) through a $125M equity raise. - DFDV generates 7.16% annualized yield via Solana staking while expanding validator infrastructure, linking its equity value to Solana's price performance. - Solana's DeFi TVL surged to $13B in Q3 2025, driven by 500,000 TPS capacity and low fees, with institutional adoption including $1.72B in corporate staking. - Regulatory risks (e.g., SEC ETF decision) a

Navigating the $480M Crypto Liquidation Event: Strategic Entry Points Amid Inflation and Fed Rate Cut Outlook
- A 24,000 BTC whale dump in August 2025 triggered $480M crypto liquidations, exposing leveraged position risks and Bitcoin's $109,000 seven-week low. - The Fed's 2025 rate-cut trajectory (3.8% Treasury yields) fueled 15% Bitcoin gains but amplified derivatives-driven volatility via bearish options bias ($116,000 max pain level). - Strategic positioning emphasized 5-10x leverage limits, gamma scalping near $116,000, and barbell strategies pairing stablecoins with ETF-driven Bitcoin inflows ($12B since Q2 2

Trending news
MoreCrypto prices
More








