ID -1398.76% Y/Y Due to Severe Volatility and Short-Term Reversal

On SEP 1 2025, ID dropped by 73.62% within 24 hours to reach $0.1513, ID rose by 74.72% within 7 days, dropped by 73.62% within 1 month, and dropped by 6290.69% within 1 year.

ID’s price movement over the last year reflects an extraordinarily volatile trajectory, marked by sharp corrections followed by brief rebounds. The most recent correction occurred on SEP 1 2025, during which the asset lost 73.62% of its value in a single 24-hour period. This sharp drop was preceded by a 74.72% weekly gain, illustrating a classic short-term reversal pattern that has been observed in highly leveraged or speculative instruments.

The monthly performance of ID is similarly erratic, with a 73.62% decline recorded over the last 30 days. This pattern of rapid gains followed by steep losses is not uncommon in assets that are subject to sentiment-driven trading, though the scale of ID’s fluctuations is exceptional. Analysts have noted that such movements are often amplified by liquidity constraints and leverage, but no direct explanation for the specific trigger of the recent drop has been provided.

Technical indicators suggest a breakdown in the asset’s trend structure. ID’s short-term momentum has turned sharply negative, as evidenced by the 24-hour and 7-day figures. The 74.72% recovery in the week following the drop has not restored confidence in the underlying trend, with the monthly loss reinforcing bearish sentiment. Traders and algorithmic models that rely on trend continuation strategies may have been caught off guard by the sharp reversal, while contrarian or mean-reversion models likely benefited from the bounce.

Backtest Hypothesis

A rigorous backtesting framework would be essential to assess how strategies might have performed in response to ID’s recent behavior. To construct such a test, one must first define the triggering event—such as a 10% drop in ID’s price over a single trading session—and determine the target asset on which to evaluate the subsequent performance. Additionally, the look-back period and holding period must be clearly outlined, including whether to hold for a fixed duration or until a defined signal triggers a reversal.

For instance, a default backtest could focus on ID itself, measuring the average return over 1, 5, and 20 days after a 10% daily drop. This would allow for the evaluation of both short-term reversal and continuation strategies. If the goal is to assess the broader impact of such an event, the test could be extended to a relevant benchmark or correlated asset.