0G Dips 2182.51% in 24 Hours Amid Regulatory Uncertainty and Market Sentiment Shift

On SEP 25 2025, 0G dropped by 2182.51% within 24 hours to reach $3.918, 0G dropped by 1912.83% within 7 days, dropped by 1912.83% within 1 month, and dropped by 1912.83% within 1 year.

Regulatory scrutiny intensified as several jurisdictions began reviewing the compliance status of 0G, raising concerns about its legal standing. The asset, which operates in a decentralized framework, faces potential restrictions in key markets due to unresolved issues surrounding its governance and utility. Analysts project that continued regulatory ambiguity could extend the downward trend unless a clear compliance path emerges.

The asset’s price trajectory has been accompanied by a significant shift in market sentiment. Short-term traders appear to be rotating out of 0G into more stable and regulated assets. This exodus has led to a reduction in liquidity and increased pressure on the price across major exchanges. Technical indicators, including the RSI and MACD, reflect an oversold condition, but without a clear reversal pattern, further depreciation remains a risk.

Backtest Hypothesis

A proposed backtesting strategy evaluates a technical approach based on the RSI and MACD indicators, which have historically signaled potential market turning points. The strategy involves entering long positions when RSI crosses below 30 and MACD generates a bullish crossover. Conversely, short positions are initiated when RSI rises above 70 and MACD signals a bearish crossover. The backtest aims to validate whether such a framework could have mitigated losses or captured rebounds during the recent drawdown. The parameters are set with a stop-loss at 5% and a take-profit at 15% to limit risk exposure while aiming for modest returns in a highly volatile environment.