SOMI -432.46% 24-Hour Drop Amid Sharp Short-Term Volatility

On OCT 9 2025, SOMI dropped by 432.46% within 24 hours to reach $0.7863, SOMI dropped by 1344.1% within 7 days, rose by 1027.72% within 1 month, and rose by 6021.16% within 1 year.

The token has experienced a dramatic 24-hour price correction, following a month-long rebound of more than 1000%. The sharp decline marks a significant reversal of the recent uptrend, with the 7-day cumulative fall exceeding 1300%. The movement appears to be concentrated within a short time frame, indicating heightened sensitivity to market sentiment or specific triggering factors, though none have been explicitly identified in the latest data.

Technical indicators show a sharp breakdown in momentum, with both the RSI and MACD lines pointing to oversold conditions. The RSI has fallen to levels historically associated with potential short-term reversals, while the MACD histogram has contracted sharply, suggesting a loss of bullish momentum. These readings align with the observed price action, though further consolidation is likely before any decisive trend resumption.

Analysts project that the current pullback could serve as a testing point for key support levels previously identified during earlier phases of the uptrend. If the price stabilizes around or above $0.7863, it could signal the formation of a short-term base. However, if the level breaks, the next potential support is expected at a significantly lower price point, which could extend the correction phase.

Backtest Hypothesis

A potential backtesting strategy has been outlined based on the recent volatility patterns and technical indicators. The strategy is designed to capture short-term corrections following sharp rebounds, using stop-loss and take-profit levels aligned with the identified support and resistance areas. It involves entering positions at the first sign of stabilization on the RSI and MACD, with an exit trigger based on a reversal in the histogram or a defined retracement level. The approach emphasizes risk management by capping exposure during rapid price dislocations and aims to validate whether such a framework could have mitigated the recent drawdowns.