0G +437.01% in 1 Month Amid Technical Indicators Show Weakness

On OCT 8 2025, 0G dropped by 505.01% within 24 hours to reach $2.646. The asset also dropped by 1166.28% within 7 days and fell by 4523.86% within 1 year. Over the past month, however, the coin has recorded a significant increase of 437.01%.

The recent price drop suggests a continuation of bearish momentum in the short term. Analysts project that the market could remain under pressure in the coming days due to the lack of significant institutional buy-ins or positive on-chain metrics. The sharp 505% 24-hour decline has raised concerns about the resilience of the asset in the face of broader market corrections.

Technical indicators such as the RSI and MACD have shown signs of exhaustion, reinforcing the bearish narrative. The RSI has entered the oversold zone but has not triggered a strong reversal pattern, and the MACD has shown a bearish crossover, indicating a potential continuation of the downward trend. These readings are typically seen as signals of prolonged selling pressure.

Backtest Hypothesis

A backtesting strategy was employed to evaluate the effectiveness of the technical indicators in the context of 0G's price movements. The strategy focused on a short-term trading approach using RSI and MACD as primary signals. Buy and sell signals were generated based on overbought and oversold levels and crossovers of the MACD line and signal line.

The backtest spanned a period of six months, covering a range of market conditions, including the recent 24-hour and 7-day declines. Results indicated that the strategy would have generated multiple sell signals prior to the sharp downturn, aligning with the observed technical divergence. However, the strategy also highlighted a lack of strong buy signals during the 1-month recovery, suggesting the need for additional metrics or filters to enhance accuracy.