CKB Drops 272.86% in 24 Hours Amid Persistent Market Downturn

On SEP 1 2025, CKB dropped by 272.86% within 24 hours to reach $0.004578, CKB dropped by 635.65% within 7 days, dropped by 272.86% within 1 month, and dropped by 5899.55% within 1 year. The coin has faced a significant decline across all major timeframes, reflecting deepening bearish sentiment and a broader market sell-off affecting digital assets.

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Technical indicators on the 1-hour and 4-hour charts show a continuation of bearish momentum. The Relative Strength Index (RSI) has dipped below 30 across most timeframes, signaling oversold conditions, while the Moving Average Convergence Divergence (MACD) remains in negative territory, reinforcing the downward trend. CKB has also failed to close above its 50-day and 200-day exponential moving averages, indicating a prolonged period of distribution and weak price action.

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The decline has been mirrored by broader market uncertainty, with institutional investors and retail traders alike shifting to risk-off positions. Several recent on-chain metrics suggest a sharp drop in active wallets and transaction volumes, indicating reduced user activity and liquidity. The coin’s market capitalization has also seen a proportional decline, aligning with the broader bear market dynamics.

Backtest Hypothesis

A proposed backtesting strategy aims to evaluate the effectiveness of a long-only approach under similar historical conditions. The strategy involves entering a long position when the RSI crosses above 30 and the price closes above the 20-day moving average, with an exit signal when the RSI crosses below 30 or the price closes below the 20-day moving average. This approach seeks to capture short-term rebounds amid extended downtrends while minimizing exposure to prolonged drawdowns. The use of RSI as a signal is designed to identify potential oversold conditions, whereas the 20-day moving average serves as a filter to gauge overall trend direction.

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