XPL -337.03% in 24 Hours Amid Sharp Correction

On OCT 8 2025, XPL dropped by 337.03% within 24 hours to reach $0.8854, XPL rose by 226.72% within 7 days, dropped by 1258.24% within 1 month, and dropped by 3043.14% within 1 year.

The dramatic 24-hour price drop highlights an intensified bearish phase in XPL’s recent price action. While the token recorded a double-digit percentage increase in the preceding seven days, the correction accelerated rapidly, signaling a reversal of prior momentum. Traders have noted that the steep decline follows a prolonged period of volatility and uncertainty, with sharp price swings observed across multiple time frames.

Technical analysts have identified key resistance and support levels breached in recent sessions. The recent close at $0.8854 indicates a breakdown below critical support zones, raising concerns about further downside potential. This has led to renewed caution among short-term traders, with many re-evaluating position sizes and stop-loss strategies.

The 30-day and 1-year performance underscores a broader bearish trend in the asset’s valuation. Over the past month, XPL has shed over 1258% of its value, compounding a year-long decline of more than 3043%. This long-term deterioration reflects deepening market sentiment and limited demand from institutional and retail investors alike. Analysts have pointed to the asset’s structural weakness in maintaining price stability, especially amid broader market headwinds.

Despite the steep drop, the 7-day gain of 226.72% suggests residual trading interest. However, this has not been enough to offset the magnitude of the recent correction. The interplay between these short-term gains and longer-term losses illustrates the volatile nature of the asset and the challenges in maintaining consistent returns.

Backtest Hypothesis

The backtesting strategy under consideration is built around a set of technical indicators aimed at capturing directional moves in XPL's price. The strategy involves using moving averages and RSI to detect potential entry and exit points. The core hypothesis is that by applying a dual moving average crossover system in conjunction with overbought/oversold RSI signals, traders can filter out noise and focus on high-probability setups during periods of extreme volatility. The indicators are designed to trigger trades only when both conditions align, thus reducing false signals. This method is particularly relevant given the recent sharp price swings, as it aims to capitalize on momentum shifts without being overly reactive to transient market movements.