Elong Power cae 22%: la división revés desencadena el exodo de inversores debido a la caída de la cotización de las acciones durante una semana

Summary
• Elong Power (NASDAQ:ELPW) tumbles 22.3% intraday to $0.1383, its lowest since December 2025
• 16-for-1 reverse stock split announced to meet Nasdaq $1.00 bid price requirement
• Intraday range of $0.1322–$0.155 highlights sharp volatility amid liquidity concerns

The battery technology firm’s dramatic price collapse reflects investor skepticism over its restructuring plan. With shares trading at 77.6% below the 52-week high of $8.075, the move underscores market anxiety over the company’s ability to navigate regulatory hurdles and maintain listing status. The reverse split, set to take effect in December 2026, has triggered immediate selling pressure as shareholders grapple with the implications of reduced share count and adjusted par value.

Reverse Split Triggers Flight to Safety
Elong Power’s 22.3% intraday plunge is directly tied to its announced 16-for-1 reverse stock split, a desperate measure to comply with Nasdaq’s $1.00 minimum bid price requirement. The restructuring, approved by shareholders on November 24, 2025, will reduce outstanding shares from 61.3 million to 3.8 million, effectively inflating the per-share price. However, the move has sparked investor unease over liquidity risks, as the reduced share count may deter retail participation and amplify volatility. The company’s dynamic PE ratio of -1.746 further signals financial distress, compounding concerns about its long-term viability.

Technical Deterioration and Liquidity Warnings
• 200-day MA: $1.4682 (far above current price)
• RSI: 39.55 (oversold territory but bearish trend intact)
• Bollinger Bands: Price at $0.1383 near lower band ($0.1522), signaling extreme weakness
• MACD: -0.0271 (bearish crossover with signal line at -0.0296)

Technical indicators paint a dire picture for ELPW. The stock is entrenched in a short- and long-term bearish trend, with the 200-day MA acting as a distant resistance. The RSI’s oversold reading suggests potential for a bounce, but the MACD’s bearish divergence and Bollinger Band compression indicate continued downward pressure. With no options liquidity available, traders should avoid speculative bets and focus on risk management. The 52-week low of $0.1322 is now a critical support level; a break below this could trigger further panic selling.

Backtest Elong Power Stock Performance
The backtest of ELWS's performance after a -22% intraday plunge from 2022 to now shows mixed results. While the 3-day win rate is 50%, the 10-day win rate is 47.22%, and the 30-day win rate is 45.83%, indicating a higher probability of positive returns in the short term, the maximum return during the backtest period was only 18.51%, which suggests that the ETF may not have fully recovered from the intraday plunge.

Critical Crossroads for Elong Power
Elong Power’s 22.3% collapse underscores the fragility of its market position as it races to meet Nasdaq requirements. While the reverse split aims to stabilize the stock, the technical indicators and liquidity constraints suggest a high-risk environment. Investors must monitor the 52-week low ($0.1322) and the 200-day MA ($1.4682) for directional clues. Meanwhile, sector leader Tesla (TSLA) fell 0.51% intraday, signaling broader market caution. For ELPW, the path forward hinges on execution of its restructuring and investor confidence in its compliance strategy. Immediate action: Watch for a breakdown below $0.1322 or a regulatory green light for the reverse split.