0G -763.15% Year-to-Date Amid Sharp Sell-Off

On SEP 23 2025, 0G dropped by 761.56% within 24 hours to reach $5.368. Over the past seven days, the asset has fallen by 763.15%, echoing the same percentage decline recorded over the last 30 days and one-year time horizon. This synchronized and extreme drop across all measured timeframes indicates a severe liquidity contraction or a sudden systemic factor impacting the asset’s value.

The sharp decline has triggered widespread volatility and forced many positions to liquidate. Investors who held 0G at year highs have experienced full erosion of gains, with current levels representing a substantial portion of previous capital. The lack of a diverging trend between short-term and long-term movements suggests a structural breakdown in the asset’s market dynamics rather than a temporary correction.

Technical indicators on 0G have shown overwhelming bearish signals. The Relative Strength Index (RSI) has fallen below 30, indicating oversold conditions, while the Moving Average Convergence Divergence (MACD) has crossed below its signal line with increasing negative momentum. These signals traditionally suggest exhaustion in the upward trend and a high probability of continued downward pressure. However, given the extreme drop, many indicators are now operating in non-representative ranges, potentially reducing their predictive value in the current environment.

Backtest Hypothesis

A proposed backtesting strategy for 0G involves identifying historical patterns where RSI fell below 30 and MACD lines crossed into strong negative territory. The strategy would look to enter long positions after a 20% rebound from such extreme levels, using a fixed stop-loss at 10% and a take-profit at 20%. The aim is to capture potential rebounds following overextended bearish moves. This approach is based on the assumption that the asset may exhibit cyclical recovery behavior following extreme sell-offs, despite the current prolonged downturn.