CHESS +242.9% in 24 hours as market reacts to news

On SEP 1 2025, CHESS surged by 242.9% within 24 hours, closing at $0.06916. Over the past 7 days, the asset climbed 111.81%, with a 242.9% increase noted over the last 30 days. Despite this short-term bullish movement, it has declined by 5996.8% over the past year.

The recent rally in CHESS follows a series of strategic developments that have triggered heightened market interest. A major milestone was reached with the announcement of a partnership to expand the digital asset’s utility in cross-border transactions. This initiative, set to be operational by the end of the year, has been highlighted as a catalyst for broader adoption. Analysts have noted that this could shift the perception of CHESS from speculative asset to a more functional and institutional-grade instrument. The technical structure of the platform, particularly its blockchain architecture, has been praised for its scalability and low latency.

Technical indicators suggest that the recent rise has been supported by a combination of bullish divergence on the RSI and a breakout above a key resistance level on the 30-day chart. Traders have observed the formation of a bullish continuation pattern, with volume increasing significantly during the last two trading sessions. While the MACD has yet to cross into positive territory, the momentum shift is evident in the short-term oscillations. These developments are being closely monitored by both retail and institutional participants.

The recent developments have also triggered a shift in market sentiment, as reflected in the growing number of positive sentiment analyses from algorithmic scanners. A number of analysts project that further regulatory clarity, particularly in the area of custody solutions, may serve to accelerate institutional inflows. This would provide a structural tailwind for the asset, particularly if the cross-border initiative begins to attract major institutional partners.

Backtest Hypothesis

In light of the recent price action and market dynamics, a backtest strategy has been proposed to evaluate the historical performance of a surge-based trading approach. The strategy is designed around identifying surge events—defined as any trading day where the close-to-previous-close return is ≥ +5%. This method aims to assess how frequently and effectively such surges can be captured using a price-based event study from January 1, 2022, to the current date. The core of the backtest will involve generating a list of surge dates, calculating the cumulative return for a holding period of one week following each surge, and analyzing the overall performance against a buy-and-hold benchmark. This approach aligns with the current technical setup and aims to quantify the potential for a rules-based strategy in capitalizing on the asset’s volatility.