KSM +13.21% Amid Short-Term Rally as Long-Term Trends Remain Downtrend

On SEP 2 2025, KSM rose by 13.21% within 24 hours to reach $14.52. However, the cryptocurrency has experienced a sharp decline in the medium and long term, with a 300.7% drop over the last 7 days, a 168.61% decrease over the past month, and a massive 5407.45% drop over the past year. The recent upward movement suggests a potential short-term reversal, though broader bearish fundamentals persist.

Market analysts have noted that the 24-hour gain is an unusual event in a market that has otherwise remained under pressure. The price jump follows a series of on-chain events and a reduction in selling pressure from large holders. While no direct cause has been identified for the sharp 24-hour increase, traders are cautiously optimistic about its implications for near-term momentum.

Technical indicators have shown mixed signals. The RSI has crossed above 50, suggesting a short-term recovery phase. The MACD line has also crossed above the signal line, reinforcing the idea of a potential trend reversal. However, the longer-term trend remains bearish, as the 200-day moving average continues to lie well above the current price level, indicating a broader downtrend.

Backtest Hypothesis

Analysts project that a backtesting strategy focusing on the RSI and MACD indicators could offer insight into the potential viability of short-term trading opportunities in KSM. The hypothesis suggests entering long positions when RSI crosses above 50 and MACD crosses above its signal line, with an exit strategy based on RSI crossing back below 50 or MACD crossing below its signal line. This strategy aims to capture short-term rebounds while minimizing exposure to long-term bearish conditions.