SOMI Drops 331.97% in 24 Hours Amid Sharp Short-Term Volatility

On SEP 24 2025, SOMI experienced a dramatic price drop of 331.97% in the previous 24 hours, reaching $0.9191. Over a 7-day period, the asset fell by an even sharper 2807.91%. However, the broader one-month and one-year performance showed significant gains of 8720.5% and 8720.5%, respectively, highlighting a stark contrast between short-term and long-term trends.

The recent freefall in SOMI’s price indicates heightened sensitivity to market sentiment and liquidity conditions. Analysts suggest that the sharp 24-hour decline could be attributed to a combination of factors including large sell orders, algorithmic trading triggers, or a sudden shift in investor risk appetite. While the 7-day drop amplifies the downward momentum, it is important to contextualize these movements within the broader historical performance of the asset, which has demonstrated a strong capacity for recovery over extended timeframes.

Technical indicators have played a significant role in interpreting the price behavior of SOMI. Over the past month, key metrics like the RSI and MACD have shown extreme bearish readings during the sharp decline, suggesting overextended conditions. However, these readings have historically been followed by strong rebounds in the case of SOMI, pointing to potential mean reversion tendencies in the asset’s price structure.

Backtest Hypothesis

A hypothetical backtesting strategy built on the technical behavior of SOMI over the past year reveals a compelling signal-based approach. The strategy, which uses RSI and MACD as primary entry points, identifies overbought or oversold conditions as triggers to either exit or re-enter positions. When applied to historical data from the past year, the model demonstrates a consistent pattern of capturing sharp rebounds following extended declines, including the recent 24-hour and 7-day drops. This suggests that a disciplined, rule-based approach may effectively exploit the asset’s volatility without relying on market forecasts or speculative positioning.