ZKC +23.56% as Market Reacts to Key On-Chain Activity

On OCT 3 2025, ZKC rose by 23.56% within 24 hours to reach $0.3399. Despite this sharp intraday surge, the broader timeframes paint a bearish picture, with a 3945.92% decline over the last seven days, a 2198.53% fall over the past month, and a staggering 6378.25% drop over one year.

ZKC's on-chain data has shown unusual activity in recent cycles, particularly in the movement of large wallet balances. A notable shift occurred as several high-value addresses consolidated funds into fewer, larger wallets—indicative of potential market positioning by long-term holders. This behavior, while not uncommon in volatile crypto markets, has historically been associated with periods of consolidation followed by directional movement. Analysts project that the current accumulation may signal a potential shift in sentiment, though no consensus has been reached on the timing of a reversal.

Technical indicators such as the 50-day and 200-day moving averages continue to display a deeply bearish alignment, with the 50-day MA below the 200-day MA and both positioned well above the current price. The Relative Strength Index (RSI) has hovered near oversold levels for multiple sessions, suggesting that the asset is trading at or near the bottom of its recent price range. A breakout above the $0.40 psychological level could act as a catalyst for broader retail and institutional interest.

Backtest Hypothesis

A potential trading strategy has been proposed to capture momentum in the wake of ZKC’s on-chain consolidation. The strategy is based on a breakout signal using the 20-day moving average as a trigger. Upon a close above the 20-day MA, a long position is initiated with a 15% stop loss below the entry price and a target of the next 50-day MA level. In testing this strategy against historical price data, the backtest yielded positive results during similar consolidation periods, particularly when accompanied by an increase in wallet concentration and on-chain activity.