YFI +1.75% on NOV 5 2025 Amid Short-Term Correction and Strong Long-Term Momentum

On NOV 5 2025, YFI surged by 1.75% within the last 24 hours, reaching $4,408. However, the token has faced a sharper short-term decline over the past week and month, with a 6.51% drop in each period. The annual performance remains particularly bearish, with YFI down 44.94% year-to-date. These figures reflect a market that is navigating near-term volatility but retains long-term bullish momentum from a broader, multi-year trend.

Traders and analysts are closely monitoring the price action to assess whether this 24-hour rebound is a meaningful reversal or merely a pullback in a longer-term bearish trajectory. The token's 1.75% daily gain stands in stark contrast to the recent weekly and monthly declines, suggesting a potential stabilization in sentiment or a short-term bounce triggered by strategic buy-ins.

The technical indicators for YFI are currently mixed. While the daily RSI is showing early signs of recovery from overbought territory, the weekly RSI remains in oversold conditions, signaling potential for further downward correction in the near term. On the other hand, the moving average convergence divergence (MACD) has just turned positive after a period of bearish divergence, which could imply a shift in momentum. These mixed signals make it challenging to draw definitive conclusions about the near-term direction of the price but underscore the importance of continued monitoring.

Backtest Hypothesis

To evaluate the potential for YFI to stabilize and reverse its downward trend, a technical-based backtest strategy is being considered. The hypothesis focuses on identifying the performance of the token following a 10% single-day drop, using historical data from 2022 to assess how the price reacts under such conditions. The strategy assumes a fixed holding period of five trading days after the event, without stop-loss or take-profit constraints. This approach aims to determine whether statistically significant rebounds occur after sharp declines, providing a framework for assessing the likelihood of a similar rebound after the recent 6.51% weekly drop.