Elong Power Plunges 19.01% on Earnings Loss

On August 21, 2025, Elong Power's stock experienced a significant drop of 19.01% in pre-market trading, raising concerns among investors about the company's financial health and market sentiment.

Elong Power's recent financial performance has been a major factor in its stock price volatility. The company reported a net loss of $7.45 million, which has heightened concerns about its profitability and future prospects. This financial setback has contributed to the significant decline in the stock price, as investors reassess the company's value and potential for growth.

The extreme volatility in Elong Power's stock price has been attributed to a combination of technical factors and broader market trends. The stock's Kline pattern indicates a short-term bearish trend, while the Relative Strength Index (RSI) at 35.2 suggests oversold conditions. The price has collapsed to the lower Bollinger Band, with the 30-day moving average at $3.05 offering no support. This technical meltdown, coupled with sector-wide headwinds, has created a challenging environment for the stock.

Despite the bearish outlook, some analysts suggest that Elong Power's stock may have the potential for a significant recovery following its sharp decline. A backtest of the stock's performance after an intraday plunge of -89% shows favorable results, with a higher probability of positive returns in the short term. The maximum return during the backtest was 74.34%, which occurred on day 58, indicating that the stock has the potential for a rebound.