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Loom Network Plunges Over 39% Amid Speculation of Manipulations

Published 18/10/2023, 13:34
Loom Network Plunges Over 39% Amid Speculation of Manipulations

Coin Edition -

  • Loom Network’s meteoric rise and abrupt fall have left investors questioning its future in a volatile market.
  • Speculations about exchange manipulations and a massive supply sale cast a shadow over LOOM’s prospects.
  • Technical indicators show high volatility and oversold conditions, suggesting potential for both recovery and further declines.

After years of dormancy, Loom Network made headlines with an over 7x surge. This rise brought it above its 2021 high, even amidst a tumultuous market. However, its unexpected ascent was short-lived.

Just as the broader market began to show green shoots, Loom’s value plummeted. Since October 15, it has nosedived from $0.48 to $0.1686 at press time, recording a 39.43% decline within the last 24 hours.

If bearish momentum breaches the $0.1728 support, the next level to watch for is around $0.15. This sudden drop in value has left investors concerned about the prospects of Loom Network and whether it can regain its previous highs.

LOOM/USD 24-hour price chart (source: CoinStats)

During the downturn, LOOM’s market capitalization decreased by 37.20% to $214,550,482, while its 24-hour trading volume decreased by 5.98% to $503,699,018, respectively. The significant decrease in market capitalization and trading volume further adds to the uncertainty surrounding Loom Network’s future performance.

Speculations Amid LOOM’s Nosedive

Several analysts have joined the conversation about Loom’s rapid descent. 0x_Lens, a popular voice on X (formerly Twitter), hints at “next-level manipulation by exchanges.” Significantly, he believes the project is “dead,” given its low market cap.

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