OPEN drops by 419.31% within 24 hours during significant downturn

On September 17, 2025, OPEN experienced a dramatic 419.31% drop in price within a single day, falling to $0.8325. Over the last week, it declined by 950.93%, and over the past month and year, the losses reached a staggering 4205.39%. This persistent and steep downturn has sparked worries about the project's fundamentals and shaken investor confidence.

The abrupt price plunge has mainly been linked to sluggish on-chain activity and an absence of significant on-chain developments. Observers have pointed out a notable mismatch between trading volume and price trends, highlighting that the project may be lacking in practical adoption or network expansion. Furthermore, the project's roadmap has not delivered any major updates, leaving the market without a potential trigger for recovery.

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From a technical perspective, multiple timeframes are showing clear bearish patterns. The RSI has plunged well into oversold levels but has not sparked a strong rebound, revealing that buyers remain hesitant even at these low prices. The 200-day moving average has served as a persistent ceiling, preventing upward movement throughout the year and confirming a protracted bearish outlook. Additionally, traders have witnessed the collapse of key support zones, as the current price struggles to stay above the $1.00 mark.

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This steep decline has led market experts to question whether the project can attract institutional backers or form significant alliances. While some retail investors are searching for a price bottom, ongoing capital outflows and shallow liquidity have limited their success. Analysts warn that unless major improvements occur to the project’s core fundamentals or it undergoes a strategic shift, the downward momentum is expected to persist.

Backtest Hypothesis

One suggested backtesting method reviews how a technical trading strategy using moving averages and RSI might have performed on OPEN. This approach involves entering trades when the 50-day moving average dips beneath the 200-day average, with the RSI staying in oversold conditions for three days or more. Exit points are determined either when the 50-day average moves back above the 200-day, or if the RSI climbs into overbought territory.

This approach was tested on previous price movements to determine its effectiveness in tracking the recent bearish phase. The results indicate that it might have signaled the onset of the price slump early, matching the observed trend shifts and RSI divergences. Despite this, the strategy also underscores the difficulties of navigating trades in a market hampered by thin liquidity and high price swings.

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