LAYER +178.78% in 24 Hours Driven by Short-Term Trading Activity

On SEP 8 2025, LAYER surged by 178.78% within 24 hours to $0.0006048, marking a sharp reversal from a 46.18% monthly decline. The price rally was supported by a 60.01% gain over the past week, while the token continued to trade at a 8666.87% premium compared to its one-year-ago level. The recent move suggests a strong accumulation of interest amid renewed short-term investor activity and speculative positioning.

The 24-hour jump in value has drawn attention from traders and on-chain analysts, who note increased inflow into LAYER wallets and a shift in on-chain behavior toward long-term holding patterns. Multiple analytics dashboards observed a rise in multi-signature wallet activity and a reduction in circulating supply metrics, indicating potential consolidation by larger market participants.

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Technical indicators on the 1-hour and 4-hour charts show overbought conditions, with the RSI hitting 70+ levels and the MACD histogram showing positive divergence. However, the 200-day and 50-day moving averages continue to trend downward, highlighting a long-term bearish trend despite the recent bullish momentum. Analysts project that the price may correct in the short term if on-chain activity stabilizes and short-term traders begin to offload their positions.

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The recent price action has also sparked renewed interest in the token’s underlying use cases and governance structures. While LAYER remains classified as a speculative token with high volatility, its recent price surge indicates that market sentiment has shifted in favor of short-term buyers. Traders are closely monitoring on-chain metrics such as net daily inflow and token velocity to assess the sustainability of the current price action.

Backtest Hypothesis

A proposed backtesting strategy focuses on leveraging the recent divergence between short-term bullish momentum and long-term bearish trends. The strategy assumes the use of a dual EMA (Exponential Moving Average) crossover model on the 1-hour and 4-hour charts. The EMA(12) crossing above EMA(26) on these charts would trigger a long entry, while a reversal—EMA(12) crossing below EMA(26)—would signal an exit.

The strategy further integrates RSI levels as a filter. Long positions are only triggered if the RSI is above 50 and on the rise, while exits are enforced when RSI falls below 50 or reaches overbought territory (above 70). This setup aims to capture short-term volatility while mitigating risk through a combination of moving average crossovers and momentum filters.

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