ATM Drops 256.22% in 24 Hours Amid Sharp Volatility and Market Corrections

On SEP 2 2025, ATM experienced a dramatic 256.22% decline within 24 hours, falling to $1.254. Over the past seven days, the asset dropped an additional 46.19%, while over the last month it saw a significant 452.71% rebound. However, over the past year, ATM remains down by 3747.58%, reflecting a severe long-term bearish trend.

The sudden collapse in ATM’s 24-hour price reflects a wave of sell-offs triggered by sharp corrections in broader digital markets and the unwinding of leveraged positions. The drop was not isolated but rather part of a wider selloff affecting multiple segments of the crypto market. Investors who had previously positioned for a short-term rebound were caught off guard as liquidity dried up and panic selling intensified. This has raised concerns about the asset’s stability and the sustainability of any near-term recovery.

Technical indicators suggest ATM is currently in a bearish phase, with key support levels being tested rapidly. The Relative Strength Index (RSI) has fallen below 30, signaling oversold conditions, but not necessarily a reversal in trend. A breakdown below the $1.254 level may trigger further losses as traders reassess positions and risk appetite diminishes. Analysts project that without a strong short-term catalyst, ATM could remain under downward pressure for several days to weeks.

Backtest Hypothesis

To evaluate potential strategies amid ATM's recent volatility, a specific backtesting framework has been proposed. The strategy is built around a time-based entry and exit mechanism, incorporating moving averages as key signals. Specifically, the approach is to initiate a long position when a 10-period moving average crosses above a 50-period moving average and exit when the reverse occurs. This is commonly known as a “golden cross” and “death cross” strategy. Stop-loss and take-profit levels are set at fixed percentages below and above the entry point, respectively. The strategy is designed to capture short- to medium-term directional movements in a highly volatile environment, leveraging trend-following principles to align with ATM’s fluctuating market behavior.