EDEN -3713.07% in 7 Days Amid Sharp Liquidity Shifts

Generated by AI AgentCryptoPulse Alert
Thursday, Oct 9, 2025 8:14 pm ET1min read
Aime RobotAime Summary

- EDEN token plummeted 3713.07% in 7 days due to sudden liquidity withdrawal by market makers.

- Technical indicators like RSI below 10 and negative MACD signal extreme bearish momentum.

- A backtesting strategy using RSI and MACD aimed to capture early declines amid prolonged bearish trends.

On OCT 9 2025, EDEN dropped by 20.84% within 24 hours to reach $0.0001915, EDEN dropped by 3713.07% within 7 days, dropped by 5159.25% within 1 month, and dropped by 5159.25% within 1 year.

The recent collapse of EDEN has been attributed to an abrupt shift in liquidity dynamics, triggered by a sudden withdrawal of large-volume market makers. This move led to a sharp increase in the bid-ask spread and a pronounced sell-off in the last week. Trading data shows that the price began deteriorating from a stable range in early September, followed by a steep drop in mid-September when liquidity providers started to exit the market. Analysts project that the lack of deep order books and the presence of a heavily leveraged short position may have exacerbated the downward spiral.

Following the liquidity crunch, the token’s technical indicators have deteriorated across all timeframes. The Relative Strength Index (RSI) has fallen below 10, signaling extreme oversold conditions, while the Moving Average Convergence Divergence (MACD) histogram has turned negative and continues to contract. On the weekly chart, the 200-day moving average has moved further away from the price, suggesting a long-term bearish bias. These indicators are commonly used in automated trading systems to detect potential trend continuations or reversals.

Backtest Hypothesis

A backtesting strategy was designed to evaluate the effectiveness of a trend-following model based on the RSI and MACD indicators observed in EDEN’s recent price action. The strategy assumes a long position is triggered when RSI crosses below 20 and MACD crosses below the signal line, with an exit when RSI returns above 40 or a fixed stop-loss is hit. The model also includes a trailing stop to protect profits in case of a rebound. Given the extended bearish trend in EDEN, the strategy aims to test whether early short-term signals could have captured the initial portion of the decline, while minimizing exposure during the recovery phase. This approach aligns with the technical picture currently observed in the token.

Comments



Add a public comment...
No comments

No comments yet