XPL -3257.65% in 1 Year Amid Sharp Correction

On OCT 5 2025, XPL dropped by 47.38% within 24 hours to reach $0.8667, XPL dropped by 1527.79% within 7 days, dropped by 1527.79% within 1 month, and dropped by 3257.65% within 1 year.

The sharp price depreciation of XPL has raised questions about the underlying factors contributing to the prolonged selloff. Despite no public announcement of a fundamental restructuring or governance shift, the asset has experienced a consistent decline over multiple time horizons. The one-year loss of 3257.65% suggests a deepening bearish sentiment among holders, exacerbated by technical breakdowns and a lack of stabilizing support levels.

Technical indicators have shown deteriorating momentum and bearish divergences. The RSI has remained below 30 for an extended period, signaling oversold conditions without a corresponding rebound in price. The MACD line has remained below the signal line, reinforcing bearish pressure. Analysts project further downside risk if key psychological levels are breached without intervention or positive catalysts.

Backtest Hypothesis

A backtesting strategy was proposed to simulate potential outcomes of a systematic trading approach in response to XPL’s technical indicators. The hypothesis involves a rules-based system that triggers sell orders when RSI drops below 30 and MACD crosses below the signal line, while buy triggers are set to occur on RSI re-entry above 40 and MACD crossover above the signal line. The strategy assumes no fundamental changes to the asset and relies purely on price action and technical momentum signals. This model aims to evaluate whether a disciplined technical approach could mitigate losses or capture short-term rebounds in a highly volatile environment.