LQTY -345.71% in 24 Hours Amid Sharp Short-Term Decline

On SEP 6 2025, LQTY dropped by 285.71% within 24 hours to reach $0.792, LQTY rose by 357.62% within 7 days, rose by 303.03% within 1 month, and dropped by 5667.59% within 1 year.

The recent 285.71% drop in LQTY’s price within 24 hours highlights an unusually volatile short-term move. The token, which had previously posted a 357.62% gain over the preceding seven days, saw a reversal in momentum, signaling heightened sensitivity to market sentiment or algorithmic trading pressures. The 24-hour decline stands out as an outlier against the positive weekly performance, creating a sharp divergence in its short-term price trajectory. This drop contrasts with the 303.03% increase seen over the past month, further emphasizing the token’s susceptibility to rapid swings in investor sentiment.

From a technical perspective, the recent price behavior points to a breakdown of key support levels following the initial sharp rally. Chartists have noted the formation of a bearish reversal pattern coinciding with the 24-hour selloff. The token’s intraday volatility, combined with its large percentage move, suggests increased liquidity imbalances or concentrated short-term selling. The monthly 303.03% gain remains intact, but the recent 24-hour collapse raises questions about the sustainability of prior gains and the presence of underlying structural weaknesses.

Backtest Hypothesis

Analysts have proposed a backtesting strategy to evaluate LQTY’s volatility and potential for profit during high-swing periods. The strategy involves using moving average crossovers and volume confirmation to identify entry and exit points. It suggests shorting the asset when a bearish crossover is confirmed by a spike in trading volume, with stop-loss placed just above a recent swing high. Conversely, long positions are initiated during bullish crossovers with volume support, targeting the next swing high for profit. The backtest aims to assess how this approach would have performed during the 357.62% rise and the subsequent 285.71% decline.