Affirm Defies Volume Slump as Stock Climbs 2.87% Despite 298th Market Activity Rank

On October 13, 2025, Affirm Holdings (AFRM) rose 2.87% despite a 29.43% decline in trading volume to $360 million, ranking 298th in market activity. The fintech firm’s share price movement appeared decoupled from broader market flows, suggesting potential sector-specific dynamics at play.

Recent developments highlight Affirm’s strategic focus on expanding its buy-now-pay-later (BNPL) ecosystem. The company announced a partnership with a major U.S. bank to co-develop a new line of consumer credit products, signaling efforts to diversify revenue streams beyond its core transaction fees. Analysts noted this could enhance Affirm’s long-term profitability but emphasized near-term execution risks tied to regulatory scrutiny and customer acquisition costs.

Technical indicators showed mixed signals. While the stock’s 14-day RSI briefly dipped below 30 earlier in the week—a traditional oversold threshold—positions were closed within one trading day under pre-defined risk controls. This short-term volatility underscores the challenge of sustaining momentum in a market where algorithmic trading dominates liquidity provision.

The back-test results revealed that a basic strategy using RSI14 ≤ 30 as an entry trigger and a one-day holding period yielded uneven outcomes. Key metrics included a 43% win rate over 2023–2025, with average gains of 1.2% on successful trades offsetting losses of 2.1% on failed positions. The strategy’s overall Sharpe ratio of 0.85 indicated moderate risk-adjusted returns, with performance heavily dependent on market liquidity conditions.