DOLO plummets by 755.47% within 24 hours as unexpected market downturn unfolds

On September 22, 2025, DOLO witnessed an extraordinary 755.47% plunge in its price within a single day, finishing at $5.825. This steep decline continued a larger, persistent downward trend, as the asset fell by 1530.58% over the past week, lost 5694.09% in the last month, and dropped 3599.47% compared to a year ago. The rapid downturn has attracted widespread focus, with DOLO’s market value collapsing sharply in the latest trading sessions.

This swift downturn seems to stem from a change in market sentiment and a re-evaluation of the asset’s underlying fundamentals. Although there have been no explicit updates regarding DOLO’s operations or leadership, traders have started to offload their holdings on a large scale, hastening the pronounced price drop. Experts anticipate continued downward momentum in the near term, noting the absence of any positive developments that might reverse the ongoing slide.

The sharp fall has activated a series of stop-loss triggers, increasing market volatility and adding to liquidity issues. The swift loss in value is now being analyzed alongside broader market trends, with some analysts arguing that DOLO was significantly overbought before this correction took place. Technical indicators reflect a strong bearish trend, and the lack of a clear recovery pattern is prompting institutional investors to remain cautious.

From a technical analysis perspective, DOLO is currently trading close to major support zones, and all principal trend indicators are pointing to a further decline. The RSI is showing extreme oversold conditions, and the MACD has moved into negative territory with weakening momentum. While such signals can sometimes precede short-lived recoveries, they have historically failed to prevent further losses during widespread sell-offs or periods of limited liquidity.

Backtest Hypothesis

Considering these technical factors, a backtesting

has been suggested to model a trading method in light of recent price developments. The hypothesis explores a mean-reversion system activated when the RSI hits oversold levels and the MACD histogram signals a reversal. The strategy initiates a long trade once the RSI climbs above 25 and the MACD histogram turns positive, with a stop-loss set at the 20-period exponential moving average. Positions are closed if the RSI falls below 50 or a 10% profit threshold is achieved.

This trading plan aims to assess the likelihood of a short-term rebound during the current bearish phase. The model’s historical outcomes will be measured using DOLO’s price movements from the past year to judge its effectiveness in such volatile conditions. Should the backtest yield strong results, it may offer a template for traders looking to exploit temporary recoveries without taking on long-term bullish exposure.