HEMI -4781.85% in 1 Year Amid Sharp Technical Deterioration

HEMI experienced a severe decline over the past year, dropping 4781.85% as of October 10, 2025. This comes after a 2352.94% drop over the past month, a 2172.77% drop in seven days, and a 1671.31% drop within a 24-hour period. The asset’s rapid depreciation has raised concerns among market participants, particularly regarding its liquidity and underlying fundamentals.

The recent price action paints a clear picture of a market in distress. The 24-hour plunge of 1671.31% is indicative of a liquidity crunch or forced deleveraging event, where selling pressure overwhelmed the market depth. Over the past seven days, the 2172.77% drop suggests a broader loss of confidence, likely triggered by a combination of external triggers and internal asset weaknesses. Analysts project that the ongoing trend may persist unless significant catalysts or interventions emerge.

Technical indicators reinforce the bearish narrative. Key support levels have been decisively breached, with no signs of immediate reversal. The Relative Strength Index (RSI) has moved into oversold territory, typically signaling potential for a rebound, though in this case, it aligns with continued selling. The Moving Average Convergence Divergence (MACD) is in a deep negative territory, reflecting a strong bearish momentum that is unlikely to reverse in the near term.

The price structure has also deteriorated over time, with a complete breakdown of previous bullish patterns. What was once a trending asset has now become a highly volatile and decoupled instrument, with little correlation to broader market indices or sector benchmarks. This disconnection suggests a loss of both market relevance and investor trust.

Backtest Hypothesis

Given the observed technical conditions, a backtesting strategy could be constructed to simulate a bear market trading approach. This strategy would assume entry positions only after a significant price drop, supported by key technical indicators such as RSI and MACD confirming bearish momentum. Stop-loss and take-profit levels would be established based on recent support and resistance levels to manage risk and capture directional bias.

The hypothesis would test the viability of a purely technical sell signal in the context of HEMI’s current trajectory. The primary objective is to determine if a systematic approach based on confirmed bearish signals could have mitigated losses or even captured small gains in an otherwise deteriorating asset. The strategy emphasizes risk management, with position sizes adjusted according to volatility and liquidity conditions.