FLUX -70.25% in 1 Month Amid Technical Downtrend and Reduced Buy Pressure

On SEP 1 2025, FLUX dropped by 15.14% within 24 hours to reach $0.1956, marking the latest in a steep decline that has seen the token fall 70.25% over the past month. Over the same period, the price has tumbled 6764.75% annually, reflecting a sharp deterioration in investor sentiment and market dynamics. The token is currently trading in a bearish trendline, with key technical indicators reinforcing a continuation of the downward trajectory.

The recent price action shows FLUX has fallen below multiple psychological and technical levels, including its 50-day and 200-day moving averages. This has led to a breakdown in prior support areas, with the token now in a range-bounded structure that favors further bearish momentum. Analysts project that without a strong reversal signal—such as a bullish candlestick pattern or a sustained move above the $0.20 resistance—FLUX is likely to test lower thresholds in the coming days.

In contrast to past volatility, current market conditions are marked by reduced buy pressure. Short-term traders appear to be locking in profits after a wave of selling in late August. The absence of strong bullish catalysts has left the token exposed to continued downside risk, particularly as larger market conditions appear to favor risk-off behavior. Institutional and retail buyers have shown little appetite to step in, allowing the bearish trend to persist unchallenged.

Technical indicators also paint a consistent bearish picture. The Relative Strength Index (RSI) has fallen below the 30 threshold, signaling oversold conditions, while the Moving Average Convergence Divergence (MACD) remains in negative territory. A bearish crossover between the MACD line and signal line earlier in the month reinforced the likelihood of further declines. These indicators suggest that FLUX may need to stabilize near key Fibonacci retracement levels before any meaningful reversal can occur.

Backtest Hypothesis

To evaluate the viability of potential trading signals amid FLUX’s recent performance, a backtesting strategy has been proposed. The strategy is built around three core components: a confirmation of a bullish candlestick reversal pattern, a crossover of the RSI above 30, and a sustained close above the 50-day moving average. The objective is to assess whether such a set of conditions could serve as a reliable early signal of a trend reversal.

The strategy assumes a long entry upon the confirmation of these conditions, with a stop-loss placed below the most recent swing low. A trailing take-profit is initiated once the price moves above the 200-day moving average. This approach is designed to capture trend resumption rather than short-term volatility, making it particularly suitable for a security like FLUX, where sharp declines are often followed by extended consolidation.