ORCA -4397.65% in 1 Year Amid Protocol Challenges

On AUG 31 2025, ORCA dropped by 94.77% within 24 hours to reach $2.157, ORCA dropped by 205.27% within 7 days, dropped by 94.77% within 1 month, and dropped by 4397.65% within 1 year.

The sharp decline in ORCA’s value reflects a broader narrative of operational and structural challenges within its protocol. Recent updates to the network failed to address underlying governance inefficiencies and liquidity constraints, raising concerns among token holders and developers alike. A critical issue has been the inability to effectively scale the platform while maintaining user experience and security. These limitations have contributed to a loss of confidence, which has been mirrored in the token’s performance. Analysts project that without a clear roadmap for protocol upgrades, the token may continue to face downward pressure.

Technical analysis of ORCA’s chart reveals a consistent bearish pattern, with key support levels repeatedly failing to hold. The token has fallen below crucial psychological and Fibonacci levels, indicating a potential continuation of the downward trend. Moving averages across all major timeframes are bearish, with short-term averages crossing below long-term ones, reinforcing the downtrend. The Relative Strength Index (RSI) has remained in oversold territory for extended periods, suggesting the market is dominated by bearish sentiment. These indicators are being closely watched by traders and analysts to gauge potential reversal points or further decline.

Backtest Hypothesis

Based on the observed technical indicators, a backtesting strategy has been proposed to simulate a potential trading approach in the context of ORCA’s recent price action. The strategy is designed to evaluate the effectiveness of predefined entry and exit rules using historical price data. The core premise is to use the RSI and Moving Average Crossover as primary signals. The strategy enters a short position when the RSI falls below 30 and the 10-period moving average crosses below the 50-period moving average. A stop-loss is placed at the most recent swing high to limit downside risk, while the take-profit is set at the nearest Fibonacci support level. This framework aims to validate the viability of trend-following bearish strategies in a prolonged downtrend like ORCA’s.