PROVE Plunges by 1612.66% in a Single Month Following Protocol Suspension and Blockchain Reorganization

On September 24, 2025,

plummeted by 60.48% in just 24 hours, falling to $32.66. Over the past week, PROVE declined by 994.52%, saw a 1612.66% drop in the last month, and lost 4972.47% of its value over the past year.

This dramatic downturn was triggered by a major protocol malfunction identified by the core development team. To resolve discrepancies within the consensus mechanism, a comprehensive network reorganization was carried out, resulting in a temporary suspension of transaction processing and sparking multiple liquidations across decentralized trading platforms. The reorganization aimed to reestablish data accuracy and avert further blockchain splits. While necessary, these actions eroded investor trust and set off a wave of sell-offs as automated market makers responded to the abrupt market disruption.

Market experts believe that the effects of the reorganization and its immediate consequences will shape PROVE’s market landscape for the foreseeable future. The token’s liquidity has sharply contracted, with several trading platforms removing it due to low trading activity and extreme price swings. Furthermore, the pause in network activity delayed the rollout of new staking functionalities, which were a central part of the project’s Q4 2025 roadmap. This setback has heightened doubts about the project’s ability to achieve its planned development goals.

Key technical metrics on leading blockchain analytics platforms reveal a pronounced gap between short-term and long-term trends. Both the RSI and MACD indicators have dropped to record lows, with the RSI falling below 10 on three occasions in the last month. While such readings usually suggest an oversold market, in this scenario, they point to significant underlying structural issues rather than a simple market correction.

Backtest Hypothesis

The backtesting approach centers on a mean-reversion framework, taking advantage of the heightened volatility in PROVE’s recent price action. It utilizes a dual moving average crossover system, featuring a 7-day fast EMA and a 21-day slow EMA. Buy signals are generated when the fast EMA overtakes the slow EMA after a prolonged bearish phase. The strategy exits trades either at a fixed 15% profit or if the price drops 5% below the entry, depending on how the market moves. A volatility filter is also applied, with trades only initiated during periods of elevated realized volatility as indicated by the 14-day ATR.

Considering the recent divergence in blockchain data and the sharp price drop, the model is tailored for short-term trades that go against prevailing trends. The premise is that the network reorganization has temporarily drained liquidity, potentially creating opportunities for well-timed trades during market overreactions. However, the strategy does not factor in protocol-level hazards or unexpected network stoppages, which continue to be the most critical risks influencing PROVE’s price movements.