INIT -342.4% in 24 Hours Amid Sudden Volatility Spike

INIT experienced a dramatic price drop of 342.4% on AUG 29 2025, falling to $0.3566 within 24 hours. Over the past week, the token fell another 1195.85%, and has lost 1756.13% of its value over the last month. Despite the recent freefall, INIT has rebounded sharply over the past year, surging 6970%. The sharp correction raises questions about underlying fundamentals and market sentiment.

The sudden price action appears uncorrelated with any major on-chain or off-chain developments in the immediate term. Analysts project that the token may face further downward pressure if technical indicators confirm a breakdown in key support levels. However, the long-term bull case remains intact, given the 6970% annual gain, suggesting a highly volatile but potentially resilient asset class.

INIT’s technical profile has shown a rapid breakdown in key resistance and support levels, with the 20-day and 50-day moving averages now acting as potential floor markers. A breakdown below these levels could trigger algorithmic sell-offs and further pressure on liquidity. The Relative Strength Index (RSI) has collapsed to near-historic lows, indicating oversold conditions, though this does not guarantee a reversal without a catalyst.

Backtest Hypothesis

A backtesting strategy based on INIT’s recent volatility could be built around predefined price triggers. For instance, a strategy might be triggered by a 10% decline from the previous close, which could represent a short-term buying opportunity. Once activated, the strategy could initiate a long position with a predefined exit condition, such as a 10% gain or a stop-loss at 5%. The performance of such a strategy would depend on the holding period and market reaction post-trigger. By defining the universe of assets, trigger conditions, and trade logic, an accurate back-test could be conducted from 2022-01-01 to the present, allowing for a historical evaluation of the strategy’s effectiveness.