XTZ Falls by 8.27% Over 24 Hours as Market Experiences Downturn

On November 3, 2025,

saw its value drop sharply by 8.27% over a 24-hour period, closing at $0.5341. Over the last week, the cryptocurrency has fallen 9.75%, with a one-month decrease of 8.32% and a substantial 58.62% loss over the past year. These figures highlight an ongoing bearish phase that has lasted for several months, with little indication of a near-term recovery.

According to market observers, XTZ has faced downward pressure from a mix of factors, such as negative market sentiment and a decline in speculative trading. Unlike earlier times, investors are now adopting a risk-averse approach, preferring safer assets. This shift has weighed heavily on altcoins, and XTZ has been particularly vulnerable due to its higher volatility and smaller market capitalization compared to

and .

XTZ’s technical analysis reveals a breach of important support zones. Experts have noted that both the 50-day and 200-day moving averages are trending downward, which supports the negative outlook. The Relative Strength Index (RSI) is currently in oversold territory, indicating the asset may be excessively sold. However, given the extended downtrend, a reversal may not happen quickly.

Recent technical reviews have utilized several indicators to determine optimal entry and exit points for XTZ trades. Notably, the Moving Average Convergence Divergence (MACD) has registered a bearish crossover, with the signal line moving beneath the MACD line. This points to ongoing downward momentum, though traders are wary of a possible short-term rebound.

Backtest Hypothesis

To test how effective a trading strategy might be in light of XTZ’s recent trends, a backtest can be performed using these criteria:

1. Event Definition: The price drops by 10% or more in a single trading day.
2. Entry Rule: Initiate a long position at the close of the day when the event occurs.
3. Exit Rule: Close the position once the price rises 10% from the entry level or after 15 trading days, whichever comes first.
4. Stop-Loss: Set a stop-loss at a 15% decline from the entry price to manage risk.
5. Benchmark Period: From January 1, 2022, through November 2, 2025.

This approach is designed to take advantage of potential recoveries following steep price drops, using volatility to spot buying opportunities during a bearish market. The backtest would review how frequently XTZ has seen such sharp declines and whether subsequent rebounds have been strong enough to generate profits under these rules. It would also evaluate how often stop-losses are triggered and the overall success rate of trades based on this hypothesis.