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ZKC surges by 1033.03% within 24 hours as it experiences a rapid short-term spike

ZKC surges by 1033.03% within 24 hours as it experiences a rapid short-term spike

Bitget-RWA2025/09/20 16:01
By:CryptoPulse Alert

- ZKC surged 1033.03% in 24 hours but fell 1361.22% in 7 days, 1 month, and 1 year, highlighting extreme volatility. - The sharp rise likely driven by speculative trading or unpublicized news, contrasting with broader bearish trends and weak technical indicators (RSI, MACD). - A backtesting strategy using RSI and moving averages aimed to capture short-term rebounds but faces challenges due to ZKC’s rare and volatile price swings.

On September 20, 2025,

surged by 1033.03% in a single day, reaching a value of $0.8107. Over the past seven days, ZKC fell by 1361.22%, with the same percentage drop recorded for both the past month and the past year.

This dramatic price increase over 24 hours points to a sudden spike in buying interest, likely sparked by speculative activity or news that was not previously made public. However, this short-term jump stands in stark contrast to the token’s overall negative trajectory, with losses exceeding 1,300% across weekly and monthly timeframes. The gap between this brief surge and the ongoing decline highlights the asset’s extreme volatility and how it reacts to shifts in investor sentiment or unexpected news.

Although there was a notable rally within a day, technical analysis continues to indicate a bearish outlook. Both the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) suggest the asset remains oversold and lacks upward momentum. Observers point out that unless there is a fundamental shift or a change in overall buying patterns, the recent price jump may not last. As such, the rally appears to be more of a short-lived correction than a meaningful change in the longer-term downtrend.

Backtest Hypothesis

The backtesting method considered here aims to assess performance in markets exhibiting patterns similar to ZKC’s recent movements. This strategy relies on a combination of RSI and moving average crossover signals. A buy signal is given when the RSI drops below 30 and the short-term moving average crosses above the long-term moving average, which may indicate a recovery. Conversely, a sell signal occurs when the RSI exceeds 70 or the short-term average falls back below the long-term average, suggesting momentum is fading.

This approach is particularly applicable in light of ZKC’s latest price behavior. With a sudden spike followed by consistent declines, the strategy could have capitalized on the upward move before the subsequent drop. However, the effectiveness of this method depends on how often and how strongly such brief rallies occur, which seem infrequent for ZKC. Therefore, traders employing this strategy must exercise strict risk control due to the asset’s high volatility and the limited opportunities for actionable trades.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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